Consolidation is not "nothing happening," but rather a reshuffling of positions.
Many people see prices moving sideways and think the market is "taking a break."
However, from the perspective of position structure, consolidation often means:
The profit-taking from the last trend is gradually exiting;
New capital is repeatedly testing the cost zone within a range;
Impatient short-term traders are shaken out by the back-and-forth volatility.
If we look at the candlestick chart from a broader perspective, a period of consolidation often represents the "foundation" for the next trend.
Therefore, I am more concerned about:
Whether trading volume expands or contracts during consolidation;
Who is absorbing the buying pressure during each lower shadow;
How many times the edges of the range have been tested.
These factors are often more important than the slight fluctuations at the moment.