A Jump Across The Creek. What Does That Mean & What’s Next?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 03-16-12 After rallying off the lows at the bottom of the trading range (point Z), the Wyckoff Wave ran out of steam and moved sideways for a couple of days. In last week’s Market Letter I questioned that point Z was a spring. My logic was that the expected bounce from the spring (good demand coming into the market) didn’t occur. While I still stand by that conclusion, the …

Are We Ready To Rally?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 03-23-12 On the week ending March 16, 2012, the Wyckoff Wave broke through the resistance of the short term trading range or area of re-accumulation. It reached a new high at point A and then began to react back towards the top of the trading range. As Wyckoff students know, this is a reaction back to the creek and, if successful, will become a major Last Point of Support …

Did We Spring The Trading Range?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 03-09-12 For the last six weeks the Wyckoff Wave has confined its price movement to a relatively narrow trading range. It has been a frustrating period as the Wave, and the stock market in general, simply seems content to move sideways without effort or enthusiasm. While this is difficult for intermediate and long-term investors, it is driving short-term and swing traders crazy. They have had no good opportunity to …

Trading Ranges and Future Directions

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 03-02-12 The first order of business this week is to wipe a little egg off my face. Patently, I was incorrect about the expected move to the upside. I was a bit too aggressive for my own good and simply got caught. Over the years, I have seen many significant moves begin with the subtle change I wrote about last week. Unfortunately, this wasn’t one of them. The most …

Tiny Changes Can Lead To Significant Moves. Are we seeing one now?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 02-24-12 We are in a traders market. The stock market, as represented by the Wyckoff Wave, has moved sideways for three weeks. The price spread has been relatively small and the volume not overly impressive. The intermediate and long-term bulls don’t really have a dog in this hunt. They can simply watch the supply versus demand battle from the sidelines. If there is a reaction back towards the H …

The Wyckoff Wave – Can we learn from recent history?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 02-17-12 This week, just like the last two, the Wyckoff Wave moved sideways in a very narrow trading range. After having what appeared to be an upthrust at point U (on the daily chart) and shown as S on the weekly chart, the Wyckoff Wave was unable to substantially weaken the short term support line P – R (shown on the daily chart). Enough demand was present to accept …

Where Do We Go From Here?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 02-10-12 This week the stock market, as measured by the Wyckoff Wave, accomplished very little. Until last Friday it had moved sideways in a narrow trading range. Then on Friday (marked by a red arrow), the Wyckoff Wave dipped below the long-term resistance line drawn from the tops of last Spring’s highs at point G. However, due to the significant gap opening to the down side, the price spread …

Trading the Unexpected. Discipline is Everything.

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 02-03-12 This week, the stock market, as measured by the Wyckoff Wave traded sideways and, for the most part showed relative weakness. A week ago Thursday, the Wyckoff Wave up thrusted an important resistance level, the highs from last spring. Unlike most up thrusts, the Wave did not react, but moved sideways. Strong supply did not come into the market. The Wyckoff Wave would either open lower and put …

Where Do We Go From Here?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 01-27-12 Last week’s Market Letter anticipated three scenarios as the Wyckoff Wave approached the resistance formed by last May’s highs. The scenarios were: 1. The Wyckoff Wave could rally strongly through the resistance and continue its advance. 2. The Wyckoff Wave could upthrust the resistance. 3. The Wyckoff Wave could react to test the short term uptrend channel or even back to the support/resistance line drawn from K. This …

Anticipating the Stock Market

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Click Here For Wyckoff Wave Chart 01-20-12 This week the stock market, as measured by the Wyckoff Wave, continued its slow advance. The individual trading day’s market action has produced indications of supply and lack of demand. Each time it appears the Wyckoff Wave may be ready to react, it continues its slow tedious advance. What does one make of this and, more importantly, how does one anticipate the market’s future direction? One tried and …

Timing When To Take A Position

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 01-13-12 Last week the stock market, as measured by the Wyckoff Wave, rallied to a high at point S. It then began what some thought would be a reaction to a Last Point of Support. Yours truly was part of that group. However, a funny thing happened. On the second day of the reaction demand came into the market. That was followed by a day that lacked supply and …

The Market is Reacting. Are We Seeing a Change in Character?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 01-06-12 Last Monday, the stock market, as measured by the Wyckoff Wave reached an important high and began to react. Is this normal and expected, are we seeing an important change in character that will negate the positive action of the past three weeks? Are we experiencing a normal corrective reaction, that in this case is also a backup to the last resistance line (or the Mr. Evans’ creek)? …