hard · Volume Spread Analysis supply-demand-smart-money

A practitioner is looking for a 'Bag Holding' signal. Which of the following conditions must be met for this signal to be valid?

  1. There must be a buying climax in the immediate background.
  2. The volume must be extremely low as the price makes new highs.
  3. The stock must gap up on bad news to trap the short sellers.
  4. The stock must refuse to fall while the parent index is in a significant decline.

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