New edge proposed: volume_poi_absorption — E8 Intelligence Research

{ "name": "volume_poi_absorption", "source": "Wyckoff (Spring/Upthrust After Distribution), Tom Williams' VSA", "type": "entry_engine", "rule": "Enter short when price makes a higher high above the prior 20-bar high with closing price below that high, volume is >= 1.5x the 20-bar average volume, and the current bar's wick-to-range ratio is <= 0.30 (absorption rejection).", "pseudocode": "if high > highest(high,20)[1] and close < high and volume >= 1.5 * average(volume,20) and (high - max(open,close)) / (high - low) <= 0.30 then entry_short = true", "why_it_works": "This captures Wyckoff upthrust after distribution (UTAD) where smart money drives price to a new high on high volume to absorb passive long liquidity, then lets it close weak, signaling imminent reversal." } Author: Andrew Stewart Caldin, Independent Researcher, UK. Part of the E8 Intelligence Research series. Platform: e8intelligence.com