Volume Absorption at Support β Smart Money Building a Base π§±π
π When a stock hits a strong support and prints high-volume candles with stable closes, it shows buyers absorbing every dip β a bullish signal.
β
Key Characteristics:
Price tests support repeatedly.
Volume increases on the test.
Wick rejections or strong reclaim candles visible.
β
Interpretation:
Institutions are accumulating silently, absorbing all available supply.
π Example: Stock touches βΉ560 support 3 times on rising volume, closes above βΉ565 β Volume Absorption β accumulation phase active.
π§ Tip: Combine with RSI divergence or VWAP reclaim for high probability setups.
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