medium · Volume Price Analysis testing
A Spring candle displays a very small body and a long lower wick.
If the volume is ultra-high, what is the most likely composition of the orders within that volume bar?
- Heavy retail panic selling being met and absorbed by aggressive institutional buy orders.
- Institutional sell orders dominating the tape and pushing prices decisively to fresh new lows.
- A near-total lack of participation from both retail traders and institutional players alike.
- Market makers marking price lower to uncover sellers before beginning a major distribution.
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