medium · Volume Spread Analysis climaxes-tests-springs-upthrusts

A stock has been in a steady mark-up phase. It produces a down-bar on low volume that closes near its high.

How should this be interpreted?

  1. A 'shake-out' designed to trap short sellers at the high.
  2. A 'no-demand' bar, signaling the end of the mark-up.
  3. A sign of weakness; the market is unable to maintain the rally.
  4. A 'test in a rising market', confirming that the uptrend is still healthy.

Sign up free to see the explanation and track your rank →

More Volume Spread Analysis climaxes-tests-springs-upthrusts practice

KomFi Academy — Stop doomscrolling. Get KomFi.

Build your intelligence, anytime, anywhere.

KomFi Academy is a curated training platform with 46,000+ practice questions, 20,000+ flashcards, on-demand video lectures, podcasts, and 4K slide decks across the topics serious professionals study: GMAT, LSAT, MCAT, Investment Banking, Private Equity (LBOs & PE math), Private Credit, Quantitative Finance, Financial Accounting, Asset- Backed Securities, Volume Profile Analysis, Order Flow Trading, Market Microstructure, Volume Spread Analysis, Elliott Wave Theory, Volume-Price Analysis, and Public Offering Frameworks.

What's inside

Topics

View pricing · Read testimonials