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

Jim OBrien Week In Review 0 Comments

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)? …

Are We Ready to Rock and Roll? Ask the Technometer

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 12-30-11 Despite a week of holiday trading doldrums, the stock market as measured by the Wyckoff Wave, sent us an interesting message. It didn’t go down. Over the last six trading days, when the Wyckoff Wave penetrated the resistance drawn at point K, supply had an ample opportunity to assert itself as investors and traders either took profits or exited long-held positions. This phenomena has been present since the …

Crossing the Creek and the Optimism – Pessimism Index

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 12-23-11 This week, the Wyckoff Wave attempted to cross the creek, marked by the resistance line at point K, and leave the trading range to the upside. Will this effort be successful or will we have what Mr. Robert Evans called an Oops? For those who are not familiar with the Oops story, it is when a stock or index tries to leave the trading range to the upside …

Corrective Reactions and a Discussion about Gap Openings

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 12-16-11 This past week, the stock market, as measured by the Wyckoff Wave, experienced a bit of a change in character. The strong supply that had dominated the moves from points K to L, M to N and O to P has been diminished as we watch the reaction from point Q. The reaction from points K to L lasted three days and saw relatively widespread and increased volume. …

Overhanging supply and the news

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 12-09-11 No one can dispute that the financial problems plaguing the European Community are not having an impact on the American stock market. It has become a major topic of discussion among investors and traders. Each morning, everyone checks the S&P futures before having their first cup of coffee. However, Wyckoff traders are taught to ignore the news. They know that news doesn’t change the market’s real destination, it …

Where Do We Go From Here?

Jim OBrien Week In Review 0 Comments

Click Here For Wyckoff Wave Chart 12-02-11 In his excellent, but little-known, book “Where Do We Go From Year”, Dr. Martin Luther King Jr. described his blueprint for continuing the civil rights movement after the signing of the 1964 Civil Rights Act. He often referred to the history of the movement and it must be understood as it often repeats itself, although on slightly different ways. The same is true of the stock market. Sometimes …