Starting a trading journal based on my understanding of Wyckoff's work

moreina

Junior member
43 1
Nickel looking like it's going through a reaction. Weekly shows a nice solid advance with good volume but the daily shows dull price action at the top with decreasing activity. This could be due to the influence of the mid December to mid January support area.
A normal reaction here would be back to the pink resistance area or thereabouts.
Weekly

Daily


30 minute shows a clear shift in momentum, especially when taking into account the increased volume on the last bar.
 

moreina

Junior member
43 1
DJI could also be preparing for a correction. Weekly shows a longer down wave and no demand (dull price action and decreased volume) at the rally top.
Weekly.

Daily shows an entrance into a trading range. Strong volume at the top of the range followed by a drying up on the retest shows the upper boundary as solid resistance.
 

moreina

Junior member
43 1
Nasdaq weekly's minor trend is now ranging, after an extremely steep climb. Technically not overbought but it is in a position for a minor downswing which would make it an intermediate downswing on the daily charts.

Hard to judge without volume but it seems that the intermediate trend went into neutral on the 13th of July and into a definite bearish state on the 23rd.

Because of the state of the index we will be taking short positions in AMD.
AMD is actually looking strong on the weekly chart, the spike in volume is normal when going through a previous resistance zone.

The daily suggests an overbought position as the rise of 21% in the last 2 days.

The 30 minute shows a shortening of the thrust with diminishing volume after encountering heavy resistance at the opening. The climactic volume is the reason we are expecting a downswing of decent proportions, allowing us a favorable risk to reward ration.

We're taking a short at 68.98, with a stop loss at 72.1.

Result: Our stop loss was taken out way past 72.1 when price gapped and opened higher at 75.43. Will need to incorporate some sort of strategy to cope with this sort of gapping.
 
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