medium · Volume Price Analysis validation
A market rallies 10 pips on 500 contracts, then rallies another 10 pips on 1,200 contracts.
How is the second candle classified?
- As an anomaly, because more effort was required to produce the same result.
- This is a fairly normal sequence within a healthy markup phase overall.
- It is validated as a signal of increasing strength and growing buyer conviction.
- It is a 'No Demand' signal because price failed to accelerate despite the extra volume.
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