🔼 Top Section: Conceptual Illustration
This part shows a simplified sketch of how a bullish trend unfolds in stages:
1. Accumulation Phase:
This is where smart money (institutional investors) starts buying while the price is moving sideways in a range.
Volume may increase subtly during this phase.
2. Breakout:
The price breaks out of the accumulation range, indicating the start of a new upward trend.
This breakout is usually accompanied by higher volume and momentum.
3. Re-Accumulation / Continuation Pattern:
After the breakout, the price consolidates again, but at a higher level.
This pause is often a flag, pennant, or wedge pattern and represents a continuation of the trend.
It's a “cool-down” before the next leg up.
4. Correction:
A short-term pullback or dip within the overall uptrend.
Healthy corrections often lead to further upside as they allow the market to “reset.”
5. Continuation of Uptrend:
The trend resumes strongly after the correction, making higher highs.
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📉 Bottom Section: Real Chart Example
This part shows a real price chart that mimics the conceptual model above:
Accumulation Range is shown with horizontal green lines and several touches at support and resistance.
Breakout is marked where the price finally moves above the accumulation resistance.
Re-Accumulation / Continuation Pattern happens in a sloping or tightening range after the initial breakout.
Correction shows a pullback before the next upward move.
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✅ Purpose of the Chart
This diagram is meant to help traders:
Recognize early-stage trends (accumulation),
Identify entry points (breakout or re-accumulation),
Avoid panic during normal corrections in a bullish trend,
Better time their exits or add to positions.
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Would you like a breakdown of how to trade each phase or how to identify these in real-time charts?