Wyckoff Power Charting

Bruce Fraser
About the author: , an industry-leading "Wyckoffian", has been teaching graduate level courses on Technical Analysis at Golden Gate University since the early 1990s. Bruce has been instrumental in crafting the curriculum at Golden Gate University, where his teaching has focused largely on Wyckoff Analysis.

Latest Posts

Wyckoff Power Charting

Crude Oil Runs with the Bulls

by Bruce Fraser

Crude Oil lends itself to Wyckoff Analysis and has the capacity to trend for long periods of time. Take some time now and review a case study on the long swings for this important commodity (click here for the study). Note how well the Point and Figure charts have been working at generating accurate price counts. A worthwhile practice is to review the price history of the instruments you are trading and the precision of the PnF counts in these prior swings. From these studies, you can learn the behavioral tendencies of prices and nuances in counting characteristics. Read More 

Wyckoff Power Charting

Tesla Recharging?

by Bruce Fraser

Tesla is proving to be an excellent ongoing case study. We suspect that the Composite Operator (CO) is very active in the electric automobile manufacturer. Please take a few minutes and review two prior posts; ‘The Point and Figure Distribution Paradox’ (click here) and ‘Shorts Find Tesla Shocking’ (click here). In each study, Point and Figure (PnF) analysis lit the way to important turns in the stock. Also, a study of the Reaccumulation area revealed the conclusion of the trading range and the emergence into a new uptrend. PnF counting of Segment 1 of the Reaccumulation generated a target Read More 

Wyckoff Power Charting

NASDAQ Composite. Trick or Treat?

by Bruce Fraser

Recently we studied the NASDAQ Composite ($COMPQ) as it appeared to be on the verge of jumping into an uptrend after building a Cause. Now the $COMPQ is within one box of the minimum PnF count of our prior study ‘$COMPQ Up Close’ (click here). We evaluated two trading counts employing intra-day PnF charts ranging from about 6,730 to 6,912. Last Friday’s price surge puts the $COMPQ at a critical juncture. As prices approach PnF objectives, Mr. Wyckoff would advise to ‘Stop, Look & Listen’ to the market to determine its probable future direction. And not to jump to conclusions Read More 

Wyckoff Power Charting

GE's Wild Ride

by Bruce Fraser

General Electric (GE) is a venerable old company in the Dow Jones Industrial Average. It was formed (Thomas Edison was the most famous of its founders) in 1892 and in 1896 it was among the first 12 stocks in the newly formed Dow Jones Industrial Average. Now GE is the last remaining of the original Dow Jones Industrial stocks, and it continues to be among the dominant industrial companies in the world. XLI, the Industrial Select Sector SPDR Fund (GE is a major component), has been among the sector leaders of the last year. Meanwhile GE has been on a wild ride that has veered significantly Read More 

Wyckoff Power Charting

Dear Point and Figure Diary

by Bruce Fraser

Dear Point and Figure Diary, As you know, I made an entry into your pages on July 15th of this year (click for a link). At the time, it appeared that two Reaccumulation Point and Figure Counts (PnF) were stacking up. This suggested another rally phase ahead in the Dow Jones Industrial Average ($INDU). I tend to be conservative in my counting, and that was the case then. But, after making this diary entry, in the second half of July additional columns materialized and increased the count objective. This spurred me to reassess the prior (and bigger) count (March to June period). In the PnF Read More 

Wyckoff Power Charting

Chemistry Experiment

by Bruce Fraser

Two strong sectors in September were Materials (XLB) and Industrials (XLI). During the second half of a business cycle expansion these themes typically do well, and that is the case here. The economy has begun to expand at a faster rate. These industries develop pricing power which allows them to raise prices for their goods at a faster rate than the general economy is growing. These companies now have ‘leverage’ in their business models which make them particularly attractive to investors as the economic cycle accelerates. Commodity chemical stocks have a Read More 

Wyckoff Power Charting

Group Dynamics

by Bruce Fraser

Let’s have a peak at some interesting sectors. At times, sectors can tip us off to the motives of the market. Sectors and Industry Groups have a general tendency to be either early, coincident or late business cycle beneficiaries. This business expansion has certainly been a long one and it appears to have life left in it. We can often tell where we are in the cycle by which sectors are strong and leading, and also by the sectors that are lagging behind. Early business cycle leadership include Consumer Discretionary, Consumer Staples and Financials. Late Read More 

Wyckoff Power Charting

$COMPQ Up Close

by Bruce Fraser

The NASDAQ Composite ($COMPQ) has consolidated since early June. Two very prominent Buying Climax peaks arrived, one in June and the next in late July. They are labeled on the vertical chart and the Point and Figure chart. This has slowed the advance of the $COMPQ to a crawl. Meanwhile two well formed Reaccumulation structures have developed. Which generally means they can be evaluated and Point and Figure counts taken. Currently the NASDAQ Composite has returned to the July 27th BCLX peak. This Resistance level is in force and holding the index back. Provided that it can break out, there Read More 

Wyckoff Power Charting

Dr. Henry O. (Hank) Pruden 1936-2017

by Bruce Fraser

Technical analysis education suffered a great loss with the recent passing of Dr. Henry O. (Hank) Pruden. A consummate educator, in 1976, Hank combined his incredible capacity for inspiring students with his personal passion for Technical Market Analysis. The result was the very first graduate course, at an accredited university, in the study of markets using chart analysis. Dr. Zahn, Dean of the Business School at Golden Gate University in San Francisco, said ‘Let the Market Decide’ when Hank proposed this innovative new graduate course. Hank’s electric teaching style and unique Read More 

Wyckoff Power Charting

Working up WDAY

by Bruce Fraser

The Wyckoff Method is well suited to the concept of campaigning stocks. When a campaign works, a stock may be held for months to years while participating in a major uptrend. Mr. Wyckoff’s goal was to hold the campaign stock until the chart (tape) indicated selling by the large informed interests (Composite Operator).  In this post, we will study the elements that go into identifying an emerging campaign. The idea of conducting a campaign is to get onboard an emerging uptrend and then to stay on it while the tape suggests the trend is rising. Here we will look for the elements of a Read More 

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