Trading The Wyckoff Way

[Trading The Wyckoff Way]

Long range view : Sellers breached through the long range DL

A clear medium range SL with a steeper angle than the long range SL was formed in the 5-6 days

Price was trending down yesterday, I could not find any verified S to explain the halt of the decent

 

Areas of interest

2585

2576-71

2555 – hinge mp

2526 – LOD

2510

 

 

Tomer

 

 

 

[Trading The Wyckoff Way]

Impressive work G.

 

 

Tomer

[Trading The Wyckoff Way]

today i was sitting on my hands and probably avoided some significant loses

 

as usual white are RT notes, yellow are post analysis

 

 

Tomer

 

[Trading The Wyckoff Way]

Long term view : price still "lean" on the DL, though a clear Support is now visible

Last 3 days formed a hinge like congestion, which looks like is ready to break out.

Last 2 TR are aligned with their MP

Price is popping up at pre-session, last TR high R holds

 

 

Areas of interest

2607

2597

2585

2572

2557

 

 

 

 

Tomer

 

 

 

 

[Trading The Wyckoff Way]

Here's my journal for today

as usuall

WHITE are RT notes, YELLOW are my post analysis notes

 

Tomer

 

 

[Trading The Wyckoff Way]

Long Range trend channel still valid, price again pushing against long range DL, suggesting strong sellers, the test of the LOD at 2557 might give a sign where is price heading

Overall picture in the past weeks is down and still no signs for a REV

 

Areas of interest

2607

2597

2584-mp

2572

2557

2549 - mp from past

2542

 

Tomer

 

 

[Trading The Wyckoff Way]

Good comment tomerok ... watch the RT action and make notes .. and boru mentioned about chat room? is there a chat room that one can listen to? can someone post a link just to see what sort of trading issues discussed ..

 

Thank you..

 

Pat

 

Hi Pat

 

Contact DB.

He'll send you the link

 

Tomer.

[Trading The Wyckoff Way]

Here's my journal for today

WHITE are RT notes, YELLOW are my post analysis notes

 

 

Tomer

 

 

[Trading The Wyckoff Way]

first post to cws looking forward to advice nq4.jpg

 

Hi Boru

I don't know exactly where you are on the "learning curve"

I'll give you the same advice I was given, first just look at price and only price, don't try to guess entry points, go through the forums and read as much as you can, do it for a while don't be too hasty to jump ahead, when you do jump ahead early you'll know it and take a step back again

Believe me things WILL get clearer, It just takes time….

 

Regarding your charts.

Try to note in RT what you think is happening and take a look again after hours in your notes

Also, plotting trend lines, marking S or R, marking trading ranges, helps the process of analyzing PA in RT

Your CWS notes indicate you're on the right path; I would have dropped no 3. Since I see price drifting for a long period of time relative to the down move, I see HH formed and HL, so for me it's a NO for short

You're welcomed to join The Trading Journal/The Trading Log

 

http://www.traderslaboratory.com/forums/wyckoff-forum/13708-trading-journal-trading-log.html

 

 

Tomer

[Trading The Wyckoff Way]

Back to posting after a week of absence.

 

Changed a bit my analysis and added a "work plan" for the day noted in RED

I keep these notes to remember my if… then… actions around areas I think will be important.

 

Long term picture, price is in a downtrend, price tested DL but is back in the channel area implying DL is still valid.

 

Areas of interest

2607

2596

2586 - ?

2579

2569

2556

 

 

Tomer.

 

 

 

 

[Trading The Wyckoff Way]

As usual notes are on the chart, WHITE are RT notes, YELLOW are my post analysis notes

 

Tomer

 

 

[Trading The Wyckoff Way]

Price rallied up yesterday over every potential R

By the end of the day consolidated to a hinge which broke to the up side

Currently price is at last R before an air pocket

 

Areas of interest

2709

2700

3695

2687

2682

2679

2677

2674

2688

2657

 

 

Tomer

 

 

[Trading The Wyckoff Way]

As usual notes are on the chart, WHITE are RT notes, YELLOW are my post analysis notes

 

Tomer

 

[Trading The Wyckoff Way]

areas of interest

 

2668

2657

2651 -mp

2646

2639 - mp

2631

 

 

Tomer.

 

 

[Trading The Wyckoff Way]

Today I had a very clear but challenging watching PA

 

As usual notes are on the chart, WHITE are RT notes, YELLOW are my post analysis notes

 

Tomer

 

.

[Trading The Wyckoff Way]

After 2 unusual days, a TR from the past 4-5 days is tested, pricefound R at 2677

 

Areas of interest

 

2677

2674

2668

2657

2652-45 – Middle Range

2642

2626

 

Tomer

 

 

[Trading The Wyckoff Way]

Don't stop the good habits

The large picture - Price is still in a sideways range, slightly downward, in trading ranges since price reached the big R from July - august

 

Since we had a unique day yesterday regarding trading hours I don't know how to address that, so I'll try and address that as normal price action

Latest TR is 2668-2626, price currently at MP

 

Areas of interest

 

2668

2657

2652-2646 – micro TR

2649 – mp

2642

2626

 

Tomer.

[Trading The Wyckoff Way]

nice analysis tomer, what is the green line that seems to be following price?

 

Thanks.

 

Current Day High.

 

after removing everything from the charts i left only current day OHL, prior day OHL and olor time region to plot the first 15 minutes in gray.

 

Besides S&R i'm taking into account when price creates new highs/lows for the day,

and try to see if price has any respect to prior day high/low, in addition.

and the 15 min gray area helps me view more clearly the IB or opening range.

 

Tomer

[Trading The Wyckoff Way]

Hi

I added some notes, regarding the trades I might have taken on this, post analysis to summarize the day….. and to compare with my RT notes.

I'll do that for the following month to practice

RT notes are in white, hindsight notes marked with yellow

 

Tomer.

[Trading The Wyckoff Way]

Hi

i marked my notes on the chart as the session progressed

again on the 144t since NT has scaling issues with 1t charts

 

 

Tomer

[Trading The Wyckoff Way]

Price took a dive yesterday, now price in front of major R from the past

2651 was major R, so we'll have to see what happens

 

Areas of interest

2673

2668 – minor

2657

2651 – R from the past

2646 – minor

2642

2623

2604

 

 

Tomer

[Trading The Wyckoff Way]

back to price watching...

 

at first i narrated the 5 tick chart which i watched in RT

but then realised i will have to post 6-7 screenshots to include the whole timeframe (NT sucks with small scale 1 tick display)

instead i'm posting the 144t which is pretty similar to the 1m

 

 

Tomer

[Trading The Wyckoff Way]

areas of interest

 

2695

2686

2682

2677

2668

2657

2651

2646

 

 

Tomer.

[Trading The Wyckoff Way]

Tomer, thanks for the post,

 

I was reviewing some other post regarding this issue of trend entries and I found this, that has me thinking about the efficiency of such strategy

 

 

 

When we already have the 2 HH we have less information risk, but the higher price risk, I don't know if entering there gives us the most efficient entry.

 

Look at this post by BLOC, it kinda makes the point.

 

http://www.traderslaboratory.com/forums/wyckoff-forum/14506-entries-wyckoff-forum-4.html#post164441

 

i agree, blocp analysis of the trade is great and the entry is superior, even though i thanked him for the post i never read it as thorough as i did now.

that view is exactly what led me to redo the setup and entry definition in my trading plan.

 

i now recall a conversation i had with Gringo, which ended up with the question maybe more screen time is required..... just watching price.

 

Tomer.

[Trading The Wyckoff Way]

I will first like to discuss trend entries. I will use uptrends as an example, but it applies for downtrends as well

 

One can define a trend, at least a premilminary one as soon as one has a new HL, and a new HH. In this case one could enter in diferent places, the first place I want to bring into the discussion is the last high, which I think can be used for entries in the following ways:

 

 

1. At the BO of the last high, this can be done with a stop or an stop limit order, placed before the price had reached the last high,

 

2. After the BO, at the RET to the LH, this can be done waiting for price to go back to the last high and entering with a limit order at that level or waiting for price to go through the last high and placing a stop or a stop limit order above market price.

 

At both places I am assuming one sets the stop loss at the same place, so the money risk is the same, now the real risk I think will depend on context, and the probabilities will depend on what the testing results tell you.

 

Now, I know I have not touched the subject of S/R, but I will leave that for another post or perhaps someone else wants to touch this subject.

 

 

Niko,

it's funny but i have just decided to revise my setups and refine them, so this thread is more than appropriate for brainstorming.

 

i used to enter at the BO of HH and that is clearly wrong, you miss a big chunk of the move and your stop is clearly wider than the option # 2 (assuming the stop loss is placed couple of tick below the LHL)

 

I'm going to work on every setup separately till i will come up with solid definition for each one (i'm avoiding using the term "rules", since they are meant to be broken... )

then i can backtest and forward test them.

 

for a start, as Db pointed out there are three kind of setup's - Retracements, Reversals and BreakOut.

and since we have $ trending or ranging than the place or area to look for them are @ the extremes (with the exception for the Retracement setup)

 

Since you pointed out trend entries i'll be more than happy to start with it.

I look at a setup as the environment preceding the trade and the entry as the trigger for executing it.

 

I'll try and define what i expect to see and where, (i'm using long as an example)

 

1. price is in an uptrend (a second up wave was formed... 2 HH and 2 LL )
   
   • price is trending for some time
     
   • price broke out (and gained significant distance from a previous TR)
     
   • we can notice a DL.
     

[*]"momentum" factors are on the up side

• up thrust is equal to previous up thrust
  
• volume is the same or greater than previous thrust
  
• retracements are slower
  

[*]No visible R ahead.

 

Entry

This is where i'm changing my strategy....

1. 2nd retracement starts (after the 2nd HH)
   
2. observe the retracement, once the retracement is "legit" in terms of speed and length (slower speed, same length as the previous one)
   
3. once price starts to form bars above the previous one (you may have to drill down to a smaller interval)
   
4. place a stp, stp lmt order ahead of price (the actual distance really depends on the formation you're watching, i guess with the movements we have seen in the chat room it could be 2-4 ticks above price.)
   

 

i neglected the stop on purpose since it depends on risk tolerance, but as a rule of thumb i'm trying to exit immediately once the parameters for entry have changed and are no longer valid.

 

Tomer