[badcharts]

Hi!

You cannot have a stage 2 breakout candle being red. By nature a breakout candle will have a non-red color (same goes for the volume indicator).

Inverst everything for a stage 4 breakdown.

Does this makes sense?

Regards,

Patrick

quote='ethanchong' pid='12003' dateline='1524227669']
Hi guys,

I just finish the book and thank god i found this site. I have a question about the "volume". So i learned that "significant volume" is very important indicator for Stage 2 breakout. But does it matter the volume is in Gray or Red color? (i'm using Stockchart.com)

My understanding is, Gray color means more buyers than seller, thus price go up. Red color means more seller than buyers, thus price go down.

What if the volume increase significantly, double/triple more compare to prior weeks, but the color is in red?
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