[module0000]

This needs another reply, I didn't answer your question about what the "path of least resistance" meant.

So if you are prices are rapidly climbing, the path of least resistance is up. If you buy, there are currently many other people buying, and that supports your long position. There isn't an abundance of people selling(otherwise the price would 1) stop or 2) fall), so the path of least resistance is not down.

There is something in new(and some old) traders mind, that causes them to sell into a rally, and buy into a crash. They think "this is the top/bottom! yea baby!". The probability of them being correct is very low, since being "correct" means you are accurately predicting the actions of thousands or more individual traders with no evidence. I say "no evidence" because if the everyone is buying, there is no evidence that selling is occurring beyond the short limit orders that buyers are consuming.

I'd guess you know the term "pullback". A pullback occurs when many people(or few people with large size) have the thought that "This is the top/bottom!" at the same time. When the pullback stops and the trend resumes, that's all of those people being wrong at the same time.