A lesson in cycles
Key: Notice that Volatility is meant to throw you OFF the real trend. Easy mode is in the second half of the sub-phase.
Phase 1: Markdown
Characterized by a clear downward trend
Despite showing volatility spikes, the true move is consistently downward
The volatility markers appear to coincide with temporary price jumps, but these are false signals
Phase 2: Accumulation/Consolidation
Shows a period of sideways movement
Multiple volatility markers appear during this phase
The "True move" indicators show this is actually a period of quiet accumulation, despite the volatile spikes trying to suggest otherwise
Phase 3: Markup
Shows an upward trend developing
Again, volatility markers appear to create noise
The "True move" indicators reveal the genuine upward trajectory beneath the volatile price action
Smart money:
1) First pushes prices down (Markdown)
2) Quietly accumulates during a consolidation period
3) Then allows prices to rise (Markup)
4) Distributes at highs.
Phase 1: Markdown
Characterized by a clear downward trend
Despite showing volatility spikes, the true move is consistently downward
The volatility markers appear to coincide with temporary price jumps, but these are false signals
Phase 2: Accumulation/Consolidation
Shows a period of sideways movement
Multiple volatility markers appear during this phase
The "True move" indicators show this is actually a period of quiet accumulation, despite the volatile spikes trying to suggest otherwise
Phase 3: Markup
Shows an upward trend developing
Again, volatility markers appear to create noise
The "True move" indicators reveal the genuine upward trajectory beneath the volatile price action
Smart money:
1) First pushes prices down (Markdown)
2) Quietly accumulates during a consolidation period
3) Then allows prices to rise (Markup)
4) Distributes at highs.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.