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

A stock is at the end of a long-term bull market. A 'no-demand' bar appears, followed by a bar that is a narrow-spread up-bar on ultra-high volume closing in the middle.

What is the narrative of professional activity here?

  1. The narrative is bullish, since both bars together show a total lack of meaningful selling pressure anywhere.
  2. The 'no-demand' bar was a misread, and the ultra-high-volume bar shows the markup resuming with even more force.
  3. Professionals initially withdrew (no demand), then returned to aggressively cap the final retail buying frenzy (supply entering).
  4. Professionals are 're-accumulating' the stock because the ultra-high volume proves they are absorbing every share available on offer.

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

More Volume Spread Analysis supply-demand-smart-money practice

KomFi: Test Prep Made Easy

KomFi: Test Prep Made Easy — free adaptive practice for GMAT, GRE, SAT, ACT, National Real Estate Exam, Investment Banking, and finance with full explanations.

KomFi Academy is free GMAT prep and personalized GMAT help built as a training platform: 75,000+ practice questions, 26,500+ flashcards, on-demand video lectures, podcasts, and 4K slide decks. Flagship tracks: Free GMAT Prep, Free GMAT Resources, National Real Estate Exam Prep, Investment Banking Prep, Finance Prep, GRE, SAT, ACT, LSAT, MCAT, Financial Accounting, Private Equity, Private Credit, and Quantitative Finance.

Free GMAT Prep & Personalized GMAT Help

What's inside

Topics

View pricing · Read testimonials