Upward Pressure CONTINUES to June 24 AT MINIMUM. We Could...
...Continue With Upward Pressure Much Longer. We will know more in regards to continuing with upward pressure some time between June 24 and June 26, 2019. Our main focus will be the LEVEL of the Purple ENERGY in the 3-Day and 4-Day time frames when they update to new candles and the indicators update within that date range of June 24th to 26th.
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Let's have a look at the 21-EMA (Orange), 50-MA (Green) and 100-MA (Blue) in the Weekly Time Frame (TF):
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My Bi-Weekly Update for my chart, titled, "Bitcoin History From 2011 to Present Day Using Wyckoff Method."
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Someone said in a message, "Neat but how can one trade based on this, good for hindsight???" So, I will provide a brief explanation below:
The purpose of Wyckoff Method is to gain an understanding of market conditions in an effort to determine the trend and supply/demand ratio in order to determine what phase of Accumulation or Distribution we are in while being aware of what events can potentially occur in each phase. Being aware of what occurs in each phase SHOULD lead one to adjust their trading strategy based on events that occur in each phase to minimize risk.
Most importantly, good indicators and an excellent understanding of how to use those indicators should be applied to help determine when a particular event within a phase is about to come to a close or begin in order to make your trade accordingly. Here's an example of what occurs in each phase for 2012 Accumulation Schematic:
Breakdown of each phase in the Accumulation Schematic that began in 2012:
Breakdown of each phase in the Accumulation Schematic that began in 2015:
We are currently in Phase D of a Wyckoff Accumulation Schematic.
Phase D: If we are correct in our analysis, what should follow is the consistent dominance of demand over supply. This is evidenced by a pattern of advances ("Sign of Strength" moves above previous resistance) on widening price spreads and increasing volume, as well as reactions ("Last Point of Support" moves that test previous resistance that becomes support) on smaller spreads and diminished volumes. During Phase D, the price will move at least to the top of the Trading Range. "Last Point of Support" in this phase is generally an excellent place to initiate or add to your bags and/or initiate profitable long positions.
Having a good understanding of HOW to use your indicators can help one determine when a "Sign of Strength" is potentially drawing to a close in order to potentially sell or initiate a profitable short position. Having a good understanding of HOW to use your indicators can also help one determine when a "Last Point of Support" event is about to begin so one can buy more coins again and/or initiate a profitable long position.
This was only a BRIEF explanation of HOW one would use Wyckoff Method. There are other things to take into consideration as well. Such as, what kind of trader are you? What amount of time to you have to trade to determine what kind of trader you can AFFORD to be in order to minimize risk? What event has or is about to occur within a Phase of a schematic in order to have an idea of what to anticipate THEN have a look at your indicators to see if what you "anticipate" has a high potential of occurring. If that potential appears highly likely, then prepare to make the trade WHILE keeping in mind other factors to avoid making mistakes and reducing/managing risk.
Money management also plays a large role in managing risk. Which is why it's also important to determine what amount of time you can invest to trade to determine what KIND of trading you will initiate. If you determine you have time to scalp in very short time frames, a number of things have to be considered to determine if market conditions are conducive for scalping. I'm not going to get into details. I said this would only be brief. More details will be on my website in the near future.
Happy Trading and Stay Awesome!
David
The purpose of Wyckoff Method is to gain an understanding of market conditions in an effort to determine the trend and supply/demand ratio in order to determine what phase of Accumulation or Distribution we are in while being aware of what events can potentially occur in each phase. Being aware of what occurs in each phase SHOULD lead one to adjust their trading strategy based on events that occur in each phase to minimize risk.
Most importantly, good indicators and an excellent understanding of how to use those indicators should be applied to help determine when a particular event within a phase is about to come to a close or begin in order to make your trade accordingly. Here's an example of what occurs in each phase for 2012 Accumulation Schematic:
Breakdown of each phase in the Accumulation Schematic that began in 2012:
Breakdown of each phase in the Accumulation Schematic that began in 2015:
We are currently in Phase D of a Wyckoff Accumulation Schematic.
Phase D: If we are correct in our analysis, what should follow is the consistent dominance of demand over supply. This is evidenced by a pattern of advances ("Sign of Strength" moves above previous resistance) on widening price spreads and increasing volume, as well as reactions ("Last Point of Support" moves that test previous resistance that becomes support) on smaller spreads and diminished volumes. During Phase D, the price will move at least to the top of the Trading Range. "Last Point of Support" in this phase is generally an excellent place to initiate or add to your bags and/or initiate profitable long positions.
Having a good understanding of HOW to use your indicators can help one determine when a "Sign of Strength" is potentially drawing to a close in order to potentially sell or initiate a profitable short position. Having a good understanding of HOW to use your indicators can also help one determine when a "Last Point of Support" event is about to begin so one can buy more coins again and/or initiate a profitable long position.
This was only a BRIEF explanation of HOW one would use Wyckoff Method. There are other things to take into consideration as well. Such as, what kind of trader are you? What amount of time to you have to trade to determine what kind of trader you can AFFORD to be in order to minimize risk? What event has or is about to occur within a Phase of a schematic in order to have an idea of what to anticipate THEN have a look at your indicators to see if what you "anticipate" has a high potential of occurring. If that potential appears highly likely, then prepare to make the trade WHILE keeping in mind other factors to avoid making mistakes and reducing/managing risk.
Money management also plays a large role in managing risk. Which is why it's also important to determine what amount of time you can invest to trade to determine what KIND of trading you will initiate. If you determine you have time to scalp in very short time frames, a number of things have to be considered to determine if market conditions are conducive for scalping. I'm not going to get into details. I said this would only be brief. More details will be on my website in the near future.
Happy Trading and Stay Awesome!
David
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Similarly, one can use the indicators I use with Elliot Wave Method to determine if a particular wave is likely or less likely to occur in a similar way I use my indicators with Wyckoff Method.
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Update using the 3-Day TF:
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It can be hard to know where the price will ultimately go to until the last couple of days before we actually get there. In the meantime, what's more important is to identify if owe have upward or downward pressure. If we have OBVIOUS upward pressure, that means stay long/hold. If we have OBVIOUS downward pressure, that means stay short/get out.
This is why I focus on letting followers know if wee are having upward or downward pressure and for approximately how long can we anticipate the upward or downward pressure to last. Currently, it appears upward pressure will continue for BTCUSD and ETHUSD until on or around June 30, 2019. The 3-Day TF seems rather obvious to point us to upward pressure continuing till on or around June 30th.
With ETHUSD and BTCUSD both appearing to have upward pressure until on or around June 30, 2019, we could reason most other ALT/USUD pairs will continue with upward pressure until on or around June 30th as well.
I'm working on another video publication later this afternoon or this evening with focus on the NEWW 2-Week Candle with updated indicators that began June 24th. I'm also looking forward to June 26th with the creation of a NEW 9-Day candle with updated indicators. We should have even more insight into the current upward pressure and how long it may last once a new 9-Day candle begins. Cause there's a CHANCE this upward pressure COULD continue until the 2-Week Candle beginning on July 8, 2019.
If we do continue with upward pressure until the 2-Week candle beginning July 8th, we can anticipate one more TIME correction (sideways) before legging uucp again. In the meantime, anticipate more upward pressure till on or around June 30th before we see a potential TIME correction (sideways) -OR- PRICE correction (decent drop of 25% or more).
We will have a better idea if we have a TIME correction or PRICE correction by June 26th or 27th; when we get a new 9-Day and new 4-Day candle. So, I'll provide a video update later this evening to provide a more detailed explanation of what I have stated in this update. You can expect another video publication on June 26th or 27th once we get a NEW 9-Day and 4-Day candle.
This is why I focus on letting followers know if wee are having upward or downward pressure and for approximately how long can we anticipate the upward or downward pressure to last. Currently, it appears upward pressure will continue for BTCUSD and ETHUSD until on or around June 30, 2019. The 3-Day TF seems rather obvious to point us to upward pressure continuing till on or around June 30th.
With ETHUSD and BTCUSD both appearing to have upward pressure until on or around June 30, 2019, we could reason most other ALT/USUD pairs will continue with upward pressure until on or around June 30th as well.
I'm working on another video publication later this afternoon or this evening with focus on the NEWW 2-Week Candle with updated indicators that began June 24th. I'm also looking forward to June 26th with the creation of a NEW 9-Day candle with updated indicators. We should have even more insight into the current upward pressure and how long it may last once a new 9-Day candle begins. Cause there's a CHANCE this upward pressure COULD continue until the 2-Week Candle beginning on July 8, 2019.
If we do continue with upward pressure until the 2-Week candle beginning July 8th, we can anticipate one more TIME correction (sideways) before legging uucp again. In the meantime, anticipate more upward pressure till on or around June 30th before we see a potential TIME correction (sideways) -OR- PRICE correction (decent drop of 25% or more).
We will have a better idea if we have a TIME correction or PRICE correction by June 26th or 27th; when we get a new 9-Day and new 4-Day candle. So, I'll provide a video update later this evening to provide a more detailed explanation of what I have stated in this update. You can expect another video publication on June 26th or 27th once we get a NEW 9-Day and 4-Day candle.
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Update in the 2-Day TF with focus ONLY on Green Secondary and Black Primary 1.618 FIB Extension:
So, we will be getting a lot of updates within the indicators June 24th to June 26th. We will get further confirmation if this upward pressure continues when the indicators update on June 30th when a new 9-Day Candle begins.
But like I said, UPWARD PRESSURE LIKELY CONTINUES TO AT LEAST JUNE 24th.