Volume–Price Climax Reversal 🔄 (Exhaustion and Turnaround)
📊 A Volume–Price Climax Reversal marks the exact turning point of a trend, identified by a huge volume spike followed by an opposite directional candle.
✅ Formation:
Extreme volume (3× or more of average).
Large candle with long wick rejecting the trend direction.
Followed by a sharp reversal candle next session.
✅ Meaning: Panic phase ends → trend reverses.
📌 Example: Stock in downtrend hits ₹510 with record volume, long lower wick candle closes ₹530 → next session big green closes ₹560 → Volume–Price Climax Reversal → bullish reversal confirmed.
🧠 Tip: Perfect for identifying market bottoms and tops if aligned with RSI divergence.
RELIANCE
#WatchOutFor
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