PROFILE2PATHWAY AUCTIONS & AUCTION THEORY 4 Behaviors To Observe In Any Auction

We’re working on answering the 1st of 2 primary questions to ask of any auction:

  • Which way is the auction attempting to go?
  • How good of a job is the auction doing in that direction?

We noted that we can answer the 1st of the 2 questions by realizing that any auction is either:

  1. Developing (aka Balancing, Consolidating, Sideways)
  2. Distributing (aka Imbalanced, Trending, Directional Move)

This takes us to the final insight to help us answer the 1st question, and it requires that we talk about the 4 behavioral phases present in any auction. This is a further refinement of developing and distributing that takes into account auction cycles.

Here are the 4 Behavioral Phases of any auction:

  • Beginning
  • Move
  • Rest
  • Test

We will spend some time here for the next several lessons, bringing in examples for how we can see these behavioral phases in our charts.

Here’s the very exciting part….knowing which behavioral phase you are in reduces the probabilities for what phase comes next…..giving you an edge!

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4 Behaviors To Observe In Any Auction | TRADE WITH PROFILE