hard · Volume Spread Analysis climaxes-tests-springs-upthrusts
In the 'Cumulative Operator' theory, why is a 'Spring' often followed by a 'Test of the Spring'?
- To fill the 'Exhaustion Gap' created by the initial plunge.
- To allow 'Weak Holders' a final chance to exit at a profit.
- To verify that the supply removed during the shake-out has not returned to the market.
- To generate enough 'No Demand' signals to justify a mark-down.
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