The Mall Mole’s Guide to Wyckoff Volume Spread Analysis: Cracking the LIQT Case

Alright, listen up, shopaholics of the stock market. This is Mia Spending Sleuth, your favorite mall mole turned financial detective, and today we’re cracking open a case that’s got more twists than a clearance rack at Nordstrom Rack. We’re talking Wyckoff Volume Spread Analysis (VSA) and its application to LiqTech International Inc. (LIQT) in July 2025. Grab your magnifying glasses, folks, because we’re about to go undercover in the world of volume and price action.

The Case of the Fluctuating LIQT

First, let’s set the scene. LIQT, a company specializing in water purification technology, has been acting suspiciously. The stock price has been fluctuating like a shopper deciding between two pairs of jeans, and the volume? Well, that’s the real clue here. Wyckoff’s theory tells us that volume is the secret handshake of the market’s big players—the composite operators. They’re the ones pulling the strings, and if we can read their signals, we might just catch a break in this case.

The Accumulation Phase: When the Big Players Are Quietly Shopping

Our first stop is the accumulation phase. This is when the composite operators are quietly gathering positions, like a savvy thrift-store shopper eyeing the racks before anyone else. The price action is sideways, volume is decreasing, and the general public isn’t even aware of the action. For LIQT, this phase might look like a period of consolidation, where the stock price isn’t making any dramatic moves, but the volume is telling a different story.

Imagine a week where LIQT’s price hovers around $10.50, with volume slowly declining. That’s a classic sign of accumulation. The big players are in, but they’re not tipping their hand just yet. They’re waiting for the right moment to make their move, and that’s when the markup phase begins.

The Markup Phase: When the Big Players Start Pushing Prices Up

Now, things get interesting. The markup phase is when the composite operators start pushing prices higher, and the volume increases to confirm their actions. For LIQT, this might look like a steady climb from $10.50 to $12.00, with volume spiking on the upswings. Pullbacks during this phase, known as “throwbacks,” present buying opportunities. These are like the perfect sale at your favorite store—you know the prices will go back up, so you snatch up what you can.

But here’s the twist: not all pullbacks are created equal. A true throwback will have volume decreasing on the downside, showing that the selling pressure isn’t strong enough to reverse the trend. If LIQT pulls back to $11.50 with lower volume, that’s a sign that the composite operators are still in control, and the uptrend is intact.

The Distribution Phase: When the Big Players Start Selling

Now, things take a turn. The distribution phase is when the composite operators start unloading their holdings at inflated prices. This is like the end-of-season sale where the store is trying to clear out inventory before the new season arrives. For LIQT, this might look like increasing volume on rallies and decreasing volume on declines.

Imagine a scenario where LIQT rallies to $13.00 with high volume, but then drops back to $12.50 with lower volume. That’s a classic distribution pattern. The big players are selling into the rallies, and the public is left holding the bag. This is a warning sign that the trend is about to reverse, and it’s time to start looking for exit points.

The Markdown Phase: When the Big Players Are Done Shopping

Finally, we have the markdown phase. This is when the composite operators have finished unloading their positions, and the stock price starts to decline. For LIQT, this might look like a steady drop from $12.50 to $10.00, with volume decreasing as the trend continues. This is the phase where the public is left holding overvalued assets, and the smart money has already moved on.

But here’s the thing: the markdown phase isn’t always a bad thing. It can present buying opportunities for those who are patient and disciplined. If LIQT drops to $9.50 with low volume, that might be a sign that the selling pressure is exhausted, and a new accumulation phase is about to begin.

The AI Angle: When Machines Join the Shopping Spree

Now, let’s talk about the elephant in the room—AI-driven stock reports. In July 2025, AI is everywhere, and it’s changing the game for Wyckoff analysis. AI can process vast amounts of data in real-time, identifying patterns and signals that would take a human analyst hours to spot. For LIQT, this means that AI-driven reports can provide insights into the stock’s price action and volume trends, helping traders make more informed decisions.

But here’s the catch: AI isn’t perfect. It’s only as good as the data it’s given, and it can sometimes miss the nuances of market psychology. That’s where Wyckoff’s principles come in. By combining AI-driven analysis with traditional VSA, traders can get a more comprehensive picture of the market and make better trading decisions.

The Verdict: What’s Next for LIQT?

So, what’s the verdict on LIQT? Based on Wyckoff’s principles, the stock is currently in a phase of fluctuation, with volume providing crucial clues about the actions of the composite operators. The recent decline over the past ten days could be a continuation of a markdown phase, or it could be a sign of a new accumulation phase beginning.

The key is to watch the volume. If LIQT’s price starts to consolidate with decreasing volume, that’s a sign of accumulation. If the volume starts to increase on rallies, that’s a sign of distribution. And if the volume decreases on declines, that’s a sign of a potential reversal.

The Bottom Line

In the end, Wyckoff Volume Spread Analysis is a powerful tool for understanding the underlying forces driving market movements. By focusing on the relationship between price and volume, and recognizing the distinct phases of market cycles, traders can gain insights into the actions of informed money and identify potential trading opportunities.

For LIQT, the future is uncertain, but the principles of VSA provide a framework for analyzing the stock’s price action and volume trends. Whether you’re a seasoned trader or a newbie just starting out, understanding Wyckoff’s principles can help you make more informed trading decisions and navigate the complex world of the stock market.

So, keep your eyes on the volume, stay disciplined, and remember: the big players are always shopping, and if you can read their signals, you might just catch a break in the case of the fluctuating LIQT. Happy sleuthing, folks!