The chart illustrates a clear Wyckoff accumulation structure forming after a strong bearish move. This structure typically signals that the previous downtrend is losing momentum while large market participants begin absorbing liquidity.
PS (Preliminary Supply):
The first noticeable increase in selling pressure appears, indicating that the prior bullish momentum is weakening and distribution begins.
SC (Selling Climax):
A sharp decline with high trading volume, representing panic selling and forced liquidation. During this phase, significant liquidity is released into the market and institutional players begin absorbing positions.
AR (Automatic Rally):
After the intense selling pressure of the SC, the market rebounds quickly as supply becomes temporarily exhausted. This creates the upper boundary of the emerging trading range.
ST (Secondary Test):
Price returns towards the previous low to test whether selling pressure remains. The failure to break significantly lower indicates that demand is entering the market.
➡️ Overall, this behaviour suggests that smart money is gradually accumulating positions within the trading range while retail liquidity is being absorbed.
PS (Preliminary Supply):
The first noticeable increase in selling pressure appears, indicating that the prior bullish momentum is weakening and distribution begins.
SC (Selling Climax):
A sharp decline with high trading volume, representing panic selling and forced liquidation. During this phase, significant liquidity is released into the market and institutional players begin absorbing positions.
AR (Automatic Rally):
After the intense selling pressure of the SC, the market rebounds quickly as supply becomes temporarily exhausted. This creates the upper boundary of the emerging trading range.
ST (Secondary Test):
Price returns towards the previous low to test whether selling pressure remains. The failure to break significantly lower indicates that demand is entering the market.
➡️ Overall, this behaviour suggests that smart money is gradually accumulating positions within the trading range while retail liquidity is being absorbed.
🔰 Free signals (85% winrate)
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🔰 Update news continuously!
Telegram: t.me/sphyntrading
🔰 Free knowledge
🔰 Update news continuously!
Telegram: t.me/sphyntrading
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.
🔰 Free signals (85% winrate)
🔰 Free knowledge
🔰 Update news continuously!
Telegram: t.me/sphyntrading
🔰 Free knowledge
🔰 Update news continuously!
Telegram: t.me/sphyntrading
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.
