Accumulation
A period where informed buyers are quietly building positions without driving price significantly higher — a potential precursor to an uptrend.
Accumulation is a market phase — popularised by Wyckoff — where large operators absorb supply from sellers without marking price up aggressively. Price trades in a range, volume is elevated on up-days and quieter on down-days (a subtle tell), and the range holds even as bearish news appears.
Accumulation precedes markup (the trend move). Identifying it early gives early-trend entries; the confirmation comes when price breaks the range on strong volume. Without volume analysis, accumulation and distribution are indistinguishable by price alone.
Related Terms
Breakout
Price moving decisively above a key resistance level or the top of a range, often on expanding volume.
BeginnerConsolidation
A period of tight, low-volatility price action — typically a pause within a trend before the next directional move.
BeginnerDistribution
A period where large holders are quietly selling into strength — a potential precursor to a downtrend.
AdvancedRange
A sideways price structure bounded by identifiable support and resistance where neither buyers nor sellers dominate.
BeginnerVolume Profile
A histogram of traded volume at each price level over a period, revealing where the market has done the most and least business.
Advanced