medium · Volume Spread Analysis effort-vs-result-spread
A stock is at a support level. Day 1: Narrow spread, high volume, close middle. Day 2: Wide spread down, ultra-high volume, close middle. Day 3: Narrow spread up, average volume, close high.
What is the most plausible 'Composite' signal here?
- An Upthrust because Bar 3 closed higher than Bar 2.
- No Demand because Day 3 had lower volume than Day 2.
- Absorption Volume and Stopping Volume combined into a base.
- A Buying Climax because volume increased on Day 2.
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