Here's how you can tell if a stock is under consolidation

Unless there is a breakout with definite consecutive closes, one should not be too quick to 'confirm' a trend. It is very essential to ascertain a trend; sometimes, having a dull scenario on the chart

Consolidation is a phase in the markets in which a stock or an index trades within a specific range, between the 'support' and resistance' levels. The price reverses from specific lower levels -- the support -- and faces selling pressure at higher levels -- the resistance. This scenario, by and large, defines consolidation.

How to identify consolidation

-- During consolidation, the price trades in a certain range with subdued volumes. It faces selling pressure on the upside, near the same levels where supply was witnessed earlier. Similarly, when the price corrects, it rebounds from the levels where buying emerged earlier.