Tracks who is trapped or in profit after a massive volume surge.
Shannon views volume as the "emotional condition" of participants. High volume at turning points often signals accumulation or distribution. Moving Averages: Tracks who is trapped or in profit after
The 5-minute chart is where the trigger happens. If the Weekly, Daily, and 60-Minute charts are all bullish, you can use the 5-minute chart to enter a trade when the price confirms a bounce. This is often where traders use a from the current day's open or an Anchored VWAP from a recent swing low to find a precise moment to buy. Moving Averages: The 5-minute chart is where the
– Price moves sideways as shares transfer from weak to strong hands; building a base. Stage 2: Markup – Price moves sideways as shares transfer from
: Fear and panic set in as trapped buyers liquidate positions at steep losses.
Brian Shannon states that only the Markup (Stage 2) and Decline (Stage 4) phases are ideal for engaging in trades. This is the context you must determine from your highest timeframe analysis.