: Smart money aggressively sells their positions to late-coming retail buyers.
To put these principles into practice, follow this top-down technical analysis routine:
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The uptrend stalls. Momentum slows down, and the price begins moving sideways again as institutional players sell their shares to late retail buyers. : Smart money aggressively sells their positions to
" is a highly regarded resource for traders seeking to align market structure with high-probability trade entries. Originally published in 2008, it remains a "cult classic" for its practical focus on price action and risk management.
Price breaks below support, entering a bear phase. Action: Participate short, avoid long.
Brian Shannon's "Technical Analysis Using Multiple Timeframes" (2008) provides a foundational approach to trading by focusing on market structure, trend alignment across different periods, and disciplined risk management. Key concepts include identifying the four market stages—accumulation, markup, distribution, and decline—and utilizing the Anchored VWAP for objective support and resistance levels. For more information, explore the educational resources available at Alphatrends and the Alphatrends YouTube channel. Amazon.com Amazon.com: Technical Analysis Using Multiple Timeframes " is a highly regarded resource for traders
– Sideways movement after a downtrend; big players build positions. Stage 2: Markup
Only buy in Stage 2 (Markup); only short in Stage 4 (Markdown).
Using multiple timeframes in technical analysis offers several benefits, including: Action: Participate short, avoid long
According to Shannon, technical analysis is not about predicting the future; it is about objectively observing price action to minimize emotional decision-making. The primary goal is to align with the dominant trend, which requires a holistic view of the market.
: Price stays below declining moving averages. Action : Stay in cash or short the asset on bounces. 3. Implement Moving Averages and Anchored VWAP