Lesson / WY-04-18
Distribution Phase A asks whether the preceding advance can continue with its former efficiency. If buyers keep lifting price, bars mostly close high, and pullbacks remain brief, the advance is still smooth. Potential stopping action may have increased trading but diminishing incremental gains, inability to remain high after a probe, and an Automatic Reaction deeper and faster than earlier declines.
Course content is for learning and research only. It is not investment advice.
Read the Chapter ↗Timestamps
8 lessons · Chapter contents
01The Relationship Between Distribution Phases and Events↗02Phase A: Has the Advance Stopped?↗03Preliminary Supply: PSY↗04Buying Climax: BC↗05Automatic Reaction: AR↗06Secondary Test: ST↗07Establishing and Revising Preliminary Boundaries↗08Climactic Stopping and Gradual Loss of Upward Effectiveness↗Observe the market: start with context and place price within its structure.
Understand structure: compare supply and demand, and let evidence support or revise your hypothesis.
Form a view: define risk limits and know when to reassess.
No matching captions.
Phases B and C: Upthrusts, UTAD, and Demand Tests
Phases D and E: SOW, LPSY, and the Developing Decline
