medium · Volume Spread Analysis wyckoff-phases-schematics

You see a wide-spread down-bar on low volume that closes at the very bottom of its range.

What does 'Falling Pressure' tell you about the immediate future of the decline?

  1. The close on the low means the bears hold complete and total control of this market, so a selling climax is essentially impossible at this point.
  2. The market is now in a fully confirmed mark-down phase, so you should aggressively add to your existing short positions immediately without any hesitation.
  3. The decline is losing momentum because professionals are not pushing the price; the market is simply falling under its own weight and may be nearing a pause.
  4. A massive surge in aggressive selling is about to occur, because the low volume shows that professionals are quietly hiding their large orders from other traders.

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