No worries..... Hopefully that is a weekly chart........my...

  1. 16,642 Posts.
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    No worries.....


    Hopefully that is a weekly chart........my analysis will be considering it as a weekly chart.

    Yes that is a VSA style hidden upthrust,
    and yes, that trading range probably contained some form of accumulation
    No, that is not a buying climax (a buying climax is a seriously BIG event, where pretty much all the retailers and funds just have to get hold of a piece of the action no matter what, so the volume is usually very very high), that bar just looks like it is part of the normal 'mark up' process, and the close off the highs shows that it drew out some supply, so it tested for the next couple of bars (to check for ongoing supply), then the markup continued.
    It was not really weakness appearing, although I think I know what you mean, those two bars illustrate the difficulty price is having to move higher, and probably represent 'absorption' (where the buyers are absorbing the sellers, in order to keep price moving higher).
    Yes, there must have been hidden selling in that upbar, although at the time there was no obvious reason. It would only have been when the next bar was down, that it became obvious the upbar was potentially full of selling.
    Yes, this is a (bearish) two bar reversal of some type, the poor close below the previous bar's low, underlines the potential weakness.
    I can see why you have called that bar a selling climax, and maybe it is (I would like to see more of the chart and the value of the trading on that bar before I would be so bold), so for me, and for what I can see of that chart, I wouldn't call it a SC, probably more likely just some decent support coming in where the initial breakout took place.
    and finally, yes that is a potential test, although not a great one, and the next bar needs to be up to make it a successful test.


    (if this chart is a daily, or a shorter timeframe, then it is probably just a breakout from a trading range, and then a pull back to test the breakout, with no climactic action at all)


    hope that helps

    cheers
    Last edited by Jako8557: 22/12/16
 
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