Supply vs. Demand

1. The law of supply and demand determines the price direction. This principle is central to Wyckoff’s method of trading and investing. When demand is greater than supply, prices rise, and when supply is greater than demand, prices fall. The trader/analyst can study the balance between supply and demand by comparing price and volume bars over time. This law is deceptively simple, but learning to accurately evaluate supply and demand on bar charts and to understand the implications of supply and demand patterns takes considerable practice.

 

No Picture
Accumulation / Distribution

Cup With Handle Probability Structure

March 19, 2018-3:36 am traderscott 4

The cup with handle is exactly the same thing as accumulation, with reaccum into the resistance area top of accum. It is a really good trading pattern, high probability, and there are a few more...

This content is for members only.
Log In Register
No Picture
For Subscribers Only

Exorption – Using It To Watch For the Next Trade Setup

January 15, 2018-9:12 am traderscott 9

If you aren’t interested in 1 minute charts, big mistake, this occurs on daily charts in the big markets as well. Like last week in the $. Remember I kept talking about “the $ is...

This content is for members only.
Log In Register
No Picture
Approach

Compressed Areas – Trading Perspective

January 8, 2018-2:03 am traderscott 5

Compressed areas in markets are very tricky to work with. So how to deal with them, and should we even bother with them?  ...

This content is for members only.
Log In Register
No Picture
Becoming a Better Trader

Bounces, Secondary Rallies, Opportunities

December 26, 2017-8:31 am traderscott 0

Bounces off of the first BC (buying climax)/preliminary supply are extremely high probability opportunities – all time frames please understand this comment I keep making. It is about understanding it is going to happen, and...

This content is for members only.
Log In Register
No Picture
For Subscribers Only

The Creek and Eating Thru the Supply

November 20, 2017-8:46 am traderscott 1

The last few weeks I kept talking about “eating thru the supply at 1285” and “backing up from the edge of the creek”. You can only “back up” in  an uptrend, time-dependent. The following goes...

This content is for members only.
Log In Register
No Picture
For Subscribers Only

Continuity and Context

September 25, 2017-9:09 am traderscott 0

We’ll take a look at continuity and context with real examples with my own positions, like in DVAX. It is an example of something I don’t do often – buy and hold new gap up...

This content is for members only.
Log In Register
No Picture
For Subscribers Only

A Very Helpful Tool General Absorption/Trend Absorption – NUGT, AEZS, DRYS, Yen, SPY

August 5, 2017-10:08 am traderscott 0

Absorption is a powerful trading tool, but like everything in markets, it requires a setup. Absorption overall is basically accumulation, but absorption itself is a timing tool. So while accumulation is in my three pillars...

This content is for members only.
Log In Register
No Picture
Becoming a Better Trader

Bounces, Rallies, Trading Ranges

July 31, 2017-7:47 am traderscott 5

More about bounces, rallies, and trading ranges are discussed in the video, and remember this general concept can be used in all markets to anticipate how different trading opportunities can “look”. I’m not trading the...

This content is for members only.
Log In Register
No Picture
For Subscribers Only

Gold and the Yen – Setting Up Areas

July 12, 2017-8:48 am traderscott 0

The following is a quick video about how the weak hands will screw themselves up in gold and the Yen in the shorter term. We can look at which areas/levels this will likely occur....

This content is for members only.
Log In Register
No Picture
Approach

Selling Short #1

June 19, 2017-1:22 am traderscott 9

Being able to recognize short selling opportunities/setups can be extremely useful, even if we’re not going to actually get short the market or stock. But recognizing these setups can even be very beneficial in reverse....

This content is for members only.
Log In Register
1 2