The Difference Between Trapped Buyers and Strong Buyers

A burst of aggressive buying can mean two very different things.

Sometimes aggressive buyers push price higher and the market continues trending.

Other times, buyers enter near a major resistance level, price fails to advance, and the market moves back below their entry area.

In the second case, some late buyers may be trapped.

How can I distinguish between the possibilities?

I watch the reaction after the buying activity.

Does price hold the higher prices and build acceptance? Or does it quickly reject the area and move back into the previous range?

Aggressive buying alone doesn't tell me whether buyers are strong or trapped. The subsequent price action provides the context.