hard · Volume Price Analysis testing
In a validated downtrend, which of the following volume patterns would you expect to see during a temporary two-day rally?
- Volume should decline as the price rallies, indicating that the 'up' move is unsupported.
- Volume should rise sharply as price rallies, validating the strength of this pullback.
- Volume should show a distinct 'absorption' anomaly to confirm that the downtrend is continuing.
- Volume should remain roughly average throughout, in order to keep the trend orderly and stable overall.
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