hard · Volume Spread Analysis

Regarding the 2008 collapse of Lehman Brothers, the guide notes that distribution was actually visible starting in July 2007.

What role did the bankruptcy news play from a VSA perspective?

  1. It acted as a catalyst to trigger a pre-existing professional mark-down.
  2. It signaled 'Demand Overcoming Supply' at the market peak.
  3. It created a 'Spring' that allowed professionals to trap short sellers.
  4. It was the primary cause of the market's structural weakness.

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