medium · Volume Price Analysis testing
A VPA practitioner is monitoring a 15-minute chart of EUR/USD. Tick volume is 750 (the high-volume threshold for the pair). The candle has an extremely narrow spread.
What specific market-maker action is occurring?
- Market makers are withdrawing liquidity, causing the price to stall despite high interest.
- The market makers are absorbing all incoming orders at that price level to prevent a breakout.
- The market makers are executing a 'Trap Up' move to attract retail short sellers.
- This represents a successful test of supply where market makers have confirmed a lack of sellers.
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