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.
The amount of activity (shares or contracts traded) during a specific time period.
A means the price moved significantly, suggesting high conviction. volume spread analysis abcs of vsa
VSA tells you what is happening now by looking at the raw transaction data.
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. The difference between the high and the low
This is the golden rule of VSA. If you see huge volume (high effort) but a very small price spread (low result), something is wrong. Usually, this means the "Smart Money" is absorbing the orders. For example, if volume is high on a small bullish candle at a resistance level, it likely means professionals are selling into the buyers, stopping the price from rising. 2. No Demand / No Supply
To master the ABCs, you must understand how these three pillars interact: A. Volume (The Effort) A means the price moved significantly, suggesting high
VSA is the study of the relationship between three key variables:
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