The Wyckoff Wave Nearing Resistance At Top Of Trading Range

Todd Butterfield Week In Review 0 Comments

The Wyckoff Wave ended the week sharply higher once again, continuing the rally we have been expecting.  Volume increased as well as price spread.

The O-P was up sharply for the week.

The Force Index was also up nicely.

The Technometer has now reached overbought.

 

The Wyckoff Wave is slightly stronger than the OP.

 

The Wyckoff Wave traded higher for the week as expected, nearing the top of the purple trading range.

We had expected continued strength last week as our Technometer was registering a neutral reading starting the week.  We are now at an overbought level on the Technometer.

This tells us that the Wyckoff Wave is probably not going to jump the resistance, but respect it.  Look for the Wave to run into resistance and start a sideways movement, or correction back into the middle of the trading range.   If volume tapers off on the pullback, then possibly after next week or so we can make another run at the top of the trading range.

 

The Wyckoff Wave Growth Index (WWG) also traded higher for the week but not as much as the Wyckoff Wave.

We had a near overbought Technometer last week, and finished this week at the same.  Growth stocks underperformed last week and still look like they can pullback some more in the coming days.

 

The SPY had a strong rally for the week as expected.

Here as well we have a Technometer nearing overbought, so possibly stab a little higher, but then we would look for a pullback.

 

The bond market traded sharply lower for the week.

We had wanted the TLT to pullback while stocks extended their rally last week.    We then wanted to see a Technometer nearing oversold.

We got both of these, but the selling became intense for the TLT late Thursday/Friday.   We have a dangerously oversold Technometer, and would expect this market to bounce in this area.

 

The GDX was down for the week with selling coming in Thursday/Friday as well.   We had an oversold Technometer all week but this did not stop the selling.   We had said to stay on the sidelines, and last week was a good example on why we were there.  This is normally negative type action to see strong selling with an oversold Technometer, but we would still expect a bounce in these markets next week.

 

 

The long dollar ETF, UUP traded slightly lower for the week after testing the upthrust last week as expected.  The problem for us is the Technometer came off of dangerously overbought, to now dangerously oversold.  We must stand aside.

IMPORTANT ANNOUNCEMENT:  Our “Pulse of The Market” charting software for Cryptocurrrencies is now working.  This software has consolidated volume for the Crypto’s which is utmost important when applying Wyckoff Technical Analysis.   We are showing this software in use on our social media sites. 

We have recently started a Discord channel where we discuss the Crypto markets.  We have had huge success and if you trade Bitcoin you might like monthy access at $40 a month.  https://www.patreon.com/LearnCrypto

Due to the demand for Bitcoin/Cryptocurrency information and trading knowledge, we released a Cryptocurrency and Wyckoff Trading Course at our site, LearnCrypto.io   This course is being offered at an affordable $299.99.  We have had 960 students enroll since its launch on June 22, 2017.   On June 28th we added lessons detailing the OP, Force, and Technometer and how to use these Wyckoff Tools for analysis.

If you are interested in Wyckoff stock chart analysis as well as Crptocurrency, search “Learn Crypto / Wyckoff SMI” or click this link https://www.youtube.com/channel/UCDxK2PwEDvoaHZgjPV_WgcA

Please subscribe and click the bell to be notified of our upcoming broadcasts.  

Our current schedule is Monday-Thursday approximately 6:30 p.m. CST, and they usually last approximately one hour.  We will also broadcast at additional random times since we want to satisfy our international subscribers as well.  

If you would also like to follow us on twitter for news and trade ideas, follow “LearnCryptoShow”, or “WyckoffonCrypto”.   We have given numerous profitable trades to our subscribers on the Youtube channel, as well as Twitter.  

Good Trading,

Todd Butterfield

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