easy · Volume Price Analysis vpa-core

A stock closes up 1.2% on a wide spread bar with volume running at 3 times its 20-day average.

According to Anna Coulling's Volume Price Analysis, what does this combination most directly confirm?

  1. The wide spread carries no real meaning unless price crosses a prior pivot high.
  2. Strong professional money is actively supporting the move higher, validating the price action
  3. High volume occurring on any up bar is automatically read as a signal of a pending reversal.
  4. Volume only becomes meaningful once compared directly against options open interest data available.

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