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Is VSA distinct from MP or part of it?
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VSA comes out of the work done by Richard Wyckoff. Wyckoff was an early US trader. He started on Wall Street around the turn of the (last) century, had a brokerage business, and eventually had a newsletter and wrote a course. He was close to the major traders of his day like
Jesse Livermore and EH Harriman, and studied their methods along with the big money pools and their operators. Wyckoff learned that he could read the tracks left by the bigger operators in the volume and price action on the charts. He wrote a course about this and other materials and created an organization called Wyckoff Associates to contiune his work and to educate traders on his methods (he died in the 1930s). Wyckoff Associates later became the Wyckoff/Stock Market Institute. SMI expanded the course over the years and continues to publish Wyckoff-based work to this day. Tom Williams traded for a big money syndicate (similar to the now outlawed pools of the pre 1930s) and used Wyckoff's methodology in his trading. Williams retired from syndicate trading and wrote a book called the
Undeclared Secrets that Drive the Stock Market . In the book, he places great emphasis on the reading of volume as the reading of professional activity in the market, and that is it the professionals (i.e., big money operators, not the 1 & 2 lot traders) that move the markets. Williams also developed a charting package called Wyckoff/VSA by Genii Software to help identify and highlight trading principles as they occured on the chart. This later became TradeGuider.
Market Profile is separate from
VSA. Also, as Rick mentioned above,
VSA looks only at the HLC, so candelsticks are irrelevant to
VSA.
Eiger