"rising wedge" with VWAP for support

2019-11-16 04:27:45

Reference/training*

not an ideal situation. Example here is to demonstrate consequences of low volume at support area. ( horizontal, Vwap, MA, EMA etc)

Background was late into an uptrend

High volume points located into higher prices creating rejection
Test at VWAP returns highly diminished strength/demand.

Tricky fake out attempt back into trading range with subsequently violent rejection back out.

If you are having issues interpreting volume, think of it as peaks and valleys.
Vally at support is generally a weak support
Vally at resistance is generally a weak resistance.