Definition of Accumulation Area


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TeachMeFinance.com - explain Accumulation Area



Accumulation Area -- A range set by price limits such that investors buy shares only within particular bounds. If a share does not go below a certain price, then an accumulation area may be identified. Analysts using the On-balance Volume Method recommend purchase of stocks that are in the accumulation area, since they are likely to draw many buyers. See also Distribution Area.


accumulation area
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