Low-volume consolidation followed by high-volume breakout above 10-bar high with volume expansion.
Four conditions work together. First, "close above 10-day high" confirms a structural price breakout — the highest close in ten sessions has been cleared. Second, "volume more than 1.5x the 20-period average" means the breakout bar has significantly above-normal participation — this is the institutional fingerprint. Third, "body more than 40% of ATR(14)" means the candle's real body (open to close) is substantial relative to recent average volatility — eliminating tiny-body doji-style breaks that lack conviction. Fourth, "volume below 80% of the 20-period average in at least 3 of the last 5 days" confirms that the pre-breakout period was genuinely quiet — not just random noise that happened to be near the 10-day high. All four conditions on the same bar produce a very low-frequency, high-specificity signal.
The accumulation breakout is a classic Jesse Livermore and Darvas Box concept: let price quietly absorb supply, then enter on the high-volume expansion. The setup works best when the consolidation is near a prior swing high or resistance zone — breaking through that zone on heavy volume suggests the overhang supply has been absorbed. Key failure modes: (1) breakout in a declining market — even clean technical breakouts fail in broad downtrends; (2) the stock has a wide bid-ask spread and "volume" includes dealer hedging activity that distorts the reading; (3) single-day earnings or news events produce the volume surge without any real accumulation. For the bearish equivalent, see Distribution Breakdown. For simpler high-volume breakouts without the accumulation filter, see Volume Surge 2x.
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This screener identifies stocks that have quietly consolidated on low volume for at least three of the last five bars and then broke above the 10-day high on heavy volume with a full-bodied candle. It captures the classic institutional accumulation pattern: patient low-volume compression followed by a decisive high-volume expansion. Currently 3 stocks match — a low count reflecting the strict multi-condition filter. Swing traders and breakout traders use it to identify potential trend initiations where the volume profile suggests institutional buying rather than retail speculation. Who uses this: institutional-style swing traders looking for high-conviction entries on the first day of breakout from a base. Failure mode: the low-volume consolidation may have been distribution (not accumulation) from institutions, and the "breakout" volume comes from retail chasing — price reverses quickly. The 10-day high check also does not distinguish between a first break of a clean resistance level and a re-test of a prior failed breakout. Related screens: Distribution Breakdown and Volume Surge 2x.