Wyckoff distribution is sideways and a range-bound trading period. It usually occurs after a prolonged uptrend. See how distribution happened in Polycab.
SOW—sign of weakness
LPSY—last point of supply
UTAD—upthrust after distribution
Pattern: Bearish Reversal
1) There must be a prior uptrend.
2) Price opens above previous day close/high and makes a high higher than previous day.
3) The Red candle closes below previous day open/low
Trading this pattern
1) Look for this pattern after a big upmove.
2) Upon confirmation, open a short position on 3rd candle.
3) Place a stoploss above the high of...
A confluence of support or resistance is simply an intersection of two or more important levels. Market participants prefer to trade around a zone that involves two or more factors rather than a zone with just one. The probability of winning is higher around confluence zones.