medium · Volume Spread Analysis wyckoff-phases-schematics

A trade setup sequence begins with 'Potential Professional Buying' followed by a 'Basic Test.'

If the third bar is 'No Supply,' what is the significance of this sequence for entry timing?

  1. The sequence is incomplete and requires a 'Buying Climax' to confirm the trend.
  2. Wait for the RV to exceed $2.5 on the 'No Supply' bar to ensure strength.
  3. The sequence is bearish because 'No Supply' means there is no liquidity for a rally.
  4. It represents a complete Bullish Sequence (Type 8), suggesting that supply is exhausted and an up-move is imminent.

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