Imagine a high-speed train (a falling market) hitting a massive barrier. You see a giant spike in volume on a down-bar, but the price closes off the lows or even in the middle. This is "Stopping Volume." The "Smart Money" has stepped in to buy everything being sold, effectively halting the crash. Why Use VSA?
The difference between the high and the low of a price bar (the length of the candle). Closing Price: Where the price ended relative to its range. volume spread analysis abcs of vsa
By analyzing these three components, VSA identifies imbalances between . It was popularized by Tom Williams, who built upon the foundational tape-reading principles of Richard Wyckoff. The Three Pillars of VSA Imagine a high-speed train (a falling market) hitting
The ABCs of Volume Spread Analysis are about learning to see the "why" behind the "what." Price alone can be deceptive, but volume rarely lies. When you see a sudden surge in volume that doesn't result in a price move, you’ve just found a hidden clue that the trend is about to change. Why Use VSA