medium · Volume Spread Analysis wyckoff-phases-schematics

As a market transitions from distribution to markdown, how does the 'Path of Least Resistance' change?

  1. It remains upward until the price breaks the 200-day moving average.
  2. It shifts upward because 'short covering' provides new demand that fuels the markdown.
  3. It becomes neutral as 'strong holders' and 'weak holders' reach an equilibrium of volume.
  4. It shifts downward because professional buying has decreased on up-moves and supply is increasing.

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

More Volume Spread Analysis wyckoff-phases-schematics practice

KomFi Academy — Stop doomscrolling. Get KomFi.

Build your intelligence, anytime, anywhere.

KomFi Academy is a curated training platform with 46,000+ practice questions, 20,000+ flashcards, on-demand video lectures, podcasts, and 4K slide decks across the topics serious professionals study: GMAT, LSAT, MCAT, Investment Banking, Private Equity (LBOs & PE math), Private Credit, Quantitative Finance, Financial Accounting, Asset- Backed Securities, Volume Profile Analysis, Order Flow Trading, Market Microstructure, Volume Spread Analysis, Elliott Wave Theory, Volume-Price Analysis, and Public Offering Frameworks.

What's inside

Topics

View pricing · Read testimonials