The point of control and the retest

Inside every candle there is one price at which the greatest volume was executed; it is called the point of control. This level is where the market “committed” the most within the period, and its position within the candle carries a meaning that does not appear on an ordinary chart.

What its position means

• Near the bottom with the candle closing high — a sign of strong passive buyers who swallowed the supply below.
• Near the top with the candle closing low — a sign of strong passive sellers who repelled the advance.
• In the middle — neutral, no clear resolution.