What Is Volume Drying – And Why It Precedes Big Moves

One of the most ignored bullish signs in technical analysis is volume drying during correction. 🔹 After a strong uptrend, a stock may start correcting or consolidating. If this correction happens on low volume, it means: Selling pressure is weak There’s no major distribution Institutions are not exiting — just a pause ✅ What to track: Price holds near key support (20 EMA or previous breakout zone) Daily volumes decline steadily during correction Occasional low-range days = tight supply zone 📌 Then, watch for sudden volume spike with green candle – that’s often the start of next uptrend leg. 🧠 Example: Stock XYZ rallies from ₹100 to ₹140. Retraces to ₹128 in 5 sessions, but daily volume drops. Then, a bullish engulfing candle on high volume = Entry zone.