easy · Volume Price Analysis testing

A narrow-spread down candle with volume at 20% of the average appears after a long downtrend.

Why is this not considered a 'bearish continuation' signal?

  1. Because a bearish continuation must always be a wide-spread candle.
  2. Because the low volume indicates a total lack of selling pressure.
  3. Because the narrow spread shows the market makers are confused.
  4. Because the insiders only sell on high volume during the Asian session.

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