Wyckoff Power Charting

Distribution Power Waves

by Bruce Fraser

In the prior post we introduced the study of comparative waves of buying and selling. By judging the relative power of adjacent waves of buying and selling one can discern emerging strength, or weakness in the stock’s structure. The change in the power of rally waves and selling waves is an important tool for the Composite Operator as they judge whether a stock is ready to markup (or markdown). Wave analysis is the comparative study of the rising and falling movements of the price of a stock. It is also the study of these price waves in comparison to a benchmark index such as Read More 

Wyckoff Power Charting

Judging Power Waves

by Bruce Fraser

Determining the motives of the Composite Operator is the central mission of all Wyckoffians. There are numerous tools for this task. The present position and future trend of the market and the stocks within, are determined through the analysis of price and volume (‘the study of the tape’, Mr. Wyckoff would say). We have covered much ground in these blog posts, through the study of Accumulation, Distribution, Price Spreads, Volume, Support and Resistance, Trend Analysis and much more. It is time to add another powerful tool to our arsenal of market skills; The Comparison of the Waves of Read More 

Wyckoff Power Charting

Point and Figure Analysis with Intraday Charts

by Bruce Fraser

We have worked with Point and Figure charts in multiple time frames using 1 box and 3 box methods. This is akin to constructing daily and weekly bar charts. For many traders intraday analysis and trading is preferred. The good news is that PnF analysis is a powerful technique for evaluating these smaller time periods. PnF scales down handily from 60 minute to 5 minute data. Only two settings need be changed (StockCharts.com subscription required) to begin generating useful intraday PnF charts in your chosen trading instruments. Under ‘Chart Attributes’ select the period (30 minutes for Read More