This law is the foundation stone of all Wycoffian theory, and is summed up as the law of effort and result. Put simply, the effort that is put in should result in a result which is agreement with this effort. In the world of volume price analysis this equates to volume and price which is either in agreement or is in disagreement. From this and an analysis of the candle and its associated volume we can then draw conclusions as to whether this is market maker buying or selling, and so anticipate future market direction.
In this video we start with some very simple examples on the 30 minute chart for the EUR/USD and focus primarily on the up candles, using one as a benchmark candle for our analysis.