Attention! Judging whether the main force is consolidating is a topic that most retail investors find difficult to understand, especially those short-term traders. Today I will share four types of intraday chart consolidation patterns with you. It can be said that intraday chart consolidation is quite important in the overall market observation. I suggest you take a serious look at it.

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1. Morning surge and pullback

After the market opens in the morning, the stock price quickly rises, with an increase of about 7, but it does not reach the daily limit. Subsequently, the stock price begins to freely pull back, and during the entire decline, the trading volume decreases. By the time of closing, there is no turn to red, either staying at half the increase or above the zero axis. In fact, this is the main force accumulating and consolidating, and the increase in volume is actually to observe the selling pressure above.

2. Limit-up breakout

After a quick rise in the morning, the stock price rapidly hits the daily limit, then the stock experiences a breakout pullback. The pullback will not be significant, followed by another surge to hit the daily limit again, resulting in limit-up, breakout pullback, stabilization, and continued rise to the daily limit. The stock price pulls back during the breakout, but the limit is very firm. The breakout does not collapse in rhythm.

3. Increased volume above the average price line, decreased volume below the average price line

The stock price remains in a horizontal range, where in the intraday chart, the stock price is above the average price line, and the trading volume shows a significant increase. Conversely, when the stock price is below the average price line, the trading volume will significantly decrease. This is a typical main force accumulation and consolidation, where decreased volume indicates that no one in the market is willing to sell.

4. Step-up consolidation

This pattern has been shared by me before. In the intraday chart, it is evident that the stock price does not directly surge after the opening, but rather pulls up a wave after the opening, then enters a horizontal consolidation, and continues to rise. The horizontal consolidation resembles a staircase, where the highs keep rising and the lows also keep rising. This main force is conservative, and the horizontal consolidation represents short-term consolidation.

Alright! The above are the four types of intraday consolidation patterns. I have prepared case images below, and I suggest you memorize these patterns. I hope it inspires everyone and serves as the most basic content that must be thoroughly understood. See you in the next issue.