medium · Volume Price Analysis vpa-core
A stock has reached the top of a distribution zone. A candle appears that is identical to a Shooting Star, but the volume is extremely low.
How should the practitioner treat this signal?
- Ignore it as a potential stop-hunt or minor test
- Enter a short trade with double position size
- Identify it as a successful test of supply
- Label it as 'Stopping Volume'
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