Got absolutely hosed today trying to bounce IONQ early and relearning a lesson I learnt a long time ago. Typically I do well on this type of price action, having learned this lesson well, but alas not today. 

Anyway figured I would share some of the nuances that often leads to what I call distribution vs capitulatory price action: People can add in replies if they like, not an exhaustive list.
- Sector wide move vs individual name.
- Day 1 of price move. Trend break, breakout etc.
- Day 1 of significant/notable news. Note if your interpretation is wrong about it being insignificant price will tell you otherwise.

In terms of actual price action for distribution vs capitulation:
- Steady sellers.
- Large volume but no acceleration (though it can).
- Each pop/turn gets rejected a logical spot, as if someone was smashing the bid with a twap. Sort of holds like a 45 degree line almost.
- Price being steady instead of capitulation creates no air for it bounce back through. Check LAES today vs IONQ. Note that I'm not saying I think long LAES was super high grade but it was decent.
- You are better off thinking that downside can be unlimited in these situations.
- Then finally in terms of actual bounceable price action, takes more time to establish the turn/higher low and work through all the heavy sellers, because some serious bags have been created.

Super frustrating for me since I was short some quantum names overnight, had right thesis QUBT/RGTI etc would melt, and recognized the IONQ tape as distribution but just forced too hard.