Disliked{quote} and also answering to Wise-Jedi I suggest you to read book David Weiss - Trades about to happen. its very good book and describes the most important concepts for wyckoff. If we are speaking about the thread, then i can tell its full of nuggets. you can read it as a book and it will lead to other great sources as well! Malcolm once in a while posts in this free telegram group: https://t.me/trades4freedomfreeroom but he has opened the service https://trades4freedom.com/services/ where he does daily trade calls (with good...Ignored
- #33,203
- Jul 3, 2020 12:27pm Jul 3, 2020 12:27pm
{quote} i see you have Weiss wave on your charts (minimized). i would say that setup looks better with the wave structure as its more important than one climactic action. p.s. the volume surrogate shows volumes like futures do. could be great tool for those who dont have access to futures feed. {image}
- #33,206
- Jul 3, 2020 1:44pm Jul 3, 2020 1:44pm
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
Guys a screenshot using the True Volume Surrogate indicator I posted a couple of posts back, beautiful clear VSA analysis now:
{quote} i see you have Weiss wave on your charts (minimized). i would say that setup looks better with the wave structure as its more important than one climactic action.
The Wiess Wave is awesome. Sierra Charts has "ZigZag Cumulative Volume". It's not the same but close. Freemind,if I may ask, what settings are you using?
Here's a look at the 6E.
Without VSA, you're playing checkers while the Smart Money plays chess.
- #33,207
- Jul 3, 2020 1:53pm Jul 3, 2020 1:53pm
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
Hi guys, new to this thread. How do you suggest to start? 1660 pages sound a bit intimidating
Without VSA, you're playing checkers while the Smart Money plays chess.
- #33,213
- Edited 12:00pm Jul 4, 2020 11:35am | Edited 12:00pm
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
Without VSA, you're playing checkers while the Smart Money plays chess.
- #33,217
- Edited 2:05pm Jul 5, 2020 1:52pm | Edited 2:05pm
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
Wyckoff VSA states: In order to trade right, look left. Background matters.
While the Wyckoffian Gary Fullett aggress, he reminds us that in order for the market to move higher, we must see Demand on the right-hand side of the chart. And in order for the market to move lower, we must see Supply on the right-hand side of the chart.
Take a look at the chart below.
THE BACKGROUND
(1) A widespread UP bar on Climatic Volume. From a VSA perspective, markets do not like high volume UP bars on Climatic Volume because they contain selling (Supply). The next bar is down, which confirms the weakness.
As this the most recent AGGRESSION BAR with Climatic Volume, we FIB this bar. Since this is the largest volume bar that can be seen, this is the same bar that many VSAers would FIB.
(2) An increasing rang UP bar that closes on its low on increasing volume. This is an Up Thrust. The Up Thrust does not confirm as the next bar is UP.
(3) A widespread UP bar on increasing volume that closes on or near its high. This bar is making a higher high than (1) but on less volume. This is weak Demand.
(4) A narrow range UP closing in the middle with volume less than the previous two bars. This is No Demand. We note that price has closed below HB and as it attempts to move back towards it, we see this No Demand that closes below.
THE RIGHT SIDE OF THE CHART
(5) A narrow range UP closing in the middle with volume less than the previous two bars. This is No Demand. We note that price has closed below HB and as it attempts to move back towards it, we see this No Demand that closes below.
(6) Supply on the right side of the chart. We see an increasing range DOWN bar that closes on or near its low with increasing volume. More specifically, this is a Drifter (Selling Aggression Bar).
(7) This is an UP bar with an equal range as the previous bar on increasing volume. In fact, the volume is about twice as much. The volume increases by two times and yet the ranges are the same. This is Effort v Result (EvR). We also note that the high of this bar is touching our Tigger Number Low.
(a) A DOWN bar confirming the EvR. This interval closes outside of the Volume Moving Averages thus completing our signal requirements.
Whilst A, Volume FLow, has been red, Volume Pressure Guage and Delta Force, B and C respectively, turn red on the confirmation bar.
While the Wyckoffian Gary Fullett aggress, he reminds us that in order for the market to move higher, we must see Demand on the right-hand side of the chart. And in order for the market to move lower, we must see Supply on the right-hand side of the chart.
Take a look at the chart below.
THE BACKGROUND
(1) A widespread UP bar on Climatic Volume. From a VSA perspective, markets do not like high volume UP bars on Climatic Volume because they contain selling (Supply). The next bar is down, which confirms the weakness.
As this the most recent AGGRESSION BAR with Climatic Volume, we FIB this bar. Since this is the largest volume bar that can be seen, this is the same bar that many VSAers would FIB.
(2) An increasing rang UP bar that closes on its low on increasing volume. This is an Up Thrust. The Up Thrust does not confirm as the next bar is UP.
(3) A widespread UP bar on increasing volume that closes on or near its high. This bar is making a higher high than (1) but on less volume. This is weak Demand.
(4) A narrow range UP closing in the middle with volume less than the previous two bars. This is No Demand. We note that price has closed below HB and as it attempts to move back towards it, we see this No Demand that closes below.
THE RIGHT SIDE OF THE CHART
(5) A narrow range UP closing in the middle with volume less than the previous two bars. This is No Demand. We note that price has closed below HB and as it attempts to move back towards it, we see this No Demand that closes below.
(6) Supply on the right side of the chart. We see an increasing range DOWN bar that closes on or near its low with increasing volume. More specifically, this is a Drifter (Selling Aggression Bar).
(7) This is an UP bar with an equal range as the previous bar on increasing volume. In fact, the volume is about twice as much. The volume increases by two times and yet the ranges are the same. This is Effort v Result (EvR). We also note that the high of this bar is touching our Tigger Number Low.
(a) A DOWN bar confirming the EvR. This interval closes outside of the Volume Moving Averages thus completing our signal requirements.
Whilst A, Volume FLow, has been red, Volume Pressure Guage and Delta Force, B and C respectively, turn red on the confirmation bar.
Without VSA, you're playing checkers while the Smart Money plays chess.
- #33,218
- Edited 6:43pm Jul 5, 2020 6:32pm | Edited 6:43pm
@HiddenGap
I took a screenshot of the same section to compare with yours. I donīt trade 1min timeframe, but you can see that even down to the lowest timeframe, the true volume surrogate rocks:
And here in this one I just moved the chart back a little bit, because in MT4 you canīt adjust the volume scale independently, this way the volume bars donīt get dwarfed by the big ones and you can read the volume better:
I took a screenshot of the same section to compare with yours. I donīt trade 1min timeframe, but you can see that even down to the lowest timeframe, the true volume surrogate rocks:
And here in this one I just moved the chart back a little bit, because in MT4 you canīt adjust the volume scale independently, this way the volume bars donīt get dwarfed by the big ones and you can read the volume better:
- #33,219
- Jul 5, 2020 9:45pm Jul 5, 2020 9:45pm
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
{quote} How we can identify the Drifter?
{quote} Can i ask about the indicator that you have on your chart? I'm very interested in this indicator that change[s] candle color on light blue?
These bars are not magic.
(1) A Wide Range Bar (WRB). This is defined as a Range (H-L) greater than the ranges of the previous three intervals. Note, even if you employ candles, the "B" refers to the bar's range and not the candle's body.
(2) The Close is in the upper quarter of the range. Which is to say the close cannot retrace further than 75% of the range. *** new information follows:**** In recent posts, I have only shown the main FIB levels for clarity's sake. But recall that Gavin will at times use the close of the bar for a trigger number. Well in two cases, I have a trigger level automatically at the close: a. when the close equals the high and b. when the close is at the retracement threshold.
We also have a definition of closing on or near the high of the range. This is one definition used in the rule-set of Tradeguider. For example, a basic Test is a decreasing range bar that closes DOWN and closes at or above the 75% retracement level on volume less than the previous two bars.
(3) A BreakOut interval. This is defined as a Close Higher than the Highs of the previous three intervals.
The above three are musts. The next three are ideal.
(4) The midpoint of the range (HB) must be greater than or equal to the high of the previous interval.
(5) The Low of the interval is greater than or equal to the Low of the previous interval.
(6) Volume is increasing. Again, this is not a requirement but we would rather see this, and most do have it. We are going to FIB the most recent AGGRESSION BAR with Climatic Action. But the real reason we would like to see increasing volume is because bullish volume is increasing volume (although not excessive) on UP bars.
Without VSA, you're playing checkers while the Smart Money plays chess.
So I was studying this indicator I found here in the forum called "Peak", and it seems to perform a good job marking reversals and where accumulation/distribution is starting. Of course it needs to be used with context/structure/VSA principles. I made some screenshots:
Here in this example the indicator seems to have captured where selling began in the up move before buying climax. An upthrust embedded with EvR after SOT and "no demand" bar ignited a 30 pt move down, after respecting the median line of the pitchfork:
In this next image I show how you could have merged the bars around the upthrust bar mentally to "see" with your mindīs eye a narrow range bar with ultra high volume:
In this example we can see a lot of buying in the background before the price touched the lower median line of a pitchfork drawn using a mirrored BC vector (which also means "oversold in trend channel"). The touch coincided with a buying peak on indi after a minor selling climax and SOT. Long could have been taken at the "no supply" test bar. This image also contains an example of a low odds upthrust, or "polar bear in Hawaii". Even though it worked nicely, it is the exception, not the rule. Nothing wrong with taking those low odds plays, but this is for advanced skilled traders:
In this example the selling peak on indi coincided very nicely with a beautiful upthrust with weakness in background and a touch of the upper median line of a modified Schiff pitchfork. Contains also more situations where you could have merged the bars and theirs volumes mentally:
In this example the Peak indi seems to have captured where accumulation started, the peaks coincided nicely with the buying bars. The last touch of the lower median line is actually touching two lower median lines of two different timeframes pitchforks. The last touch was a bullish EvR case, and also coincided with a buying peak, and a long could have been taken on the no supply test. There was also another no supply test if you missed the 1st one:
In this image we have a "no demand" bar igniting a move down after price touched 3 times the upper median line of a modified Schiff pitchfork drawn using a mirrored BC vector again, with lots of weakness in the background. Right before the "no demand" bar we had a selling peak on indi, that cluster of bars touching the median line could also have been combined mentally to arrive at a very narrow range bar with high volume, thus showing bearish EvR too:
Here another nice example where the Peak indi coincided with a selling climax, with price oversold in trend channel and buying strength in the background. A long could have been taken at the testing of the high volume bars. Also a case where you could have combined the bars and their volumes:
Here the same image as before, but using a pitchfork to catch price action. You can see that the buying peak on indi coincided with the touch of the sliding parallel (or frequency adjusted line), then you could have taken the long at the close of the testing bar, which closed back inside the pitchfork after price was oversold in channel:
Here in this example the indicator seems to have captured where selling began in the up move before buying climax. An upthrust embedded with EvR after SOT and "no demand" bar ignited a 30 pt move down, after respecting the median line of the pitchfork:
In this next image I show how you could have merged the bars around the upthrust bar mentally to "see" with your mindīs eye a narrow range bar with ultra high volume:
In this example we can see a lot of buying in the background before the price touched the lower median line of a pitchfork drawn using a mirrored BC vector (which also means "oversold in trend channel"). The touch coincided with a buying peak on indi after a minor selling climax and SOT. Long could have been taken at the "no supply" test bar. This image also contains an example of a low odds upthrust, or "polar bear in Hawaii". Even though it worked nicely, it is the exception, not the rule. Nothing wrong with taking those low odds plays, but this is for advanced skilled traders:
In this example the selling peak on indi coincided very nicely with a beautiful upthrust with weakness in background and a touch of the upper median line of a modified Schiff pitchfork. Contains also more situations where you could have merged the bars and theirs volumes mentally:
In this example the Peak indi seems to have captured where accumulation started, the peaks coincided nicely with the buying bars. The last touch of the lower median line is actually touching two lower median lines of two different timeframes pitchforks. The last touch was a bullish EvR case, and also coincided with a buying peak, and a long could have been taken on the no supply test. There was also another no supply test if you missed the 1st one:
In this image we have a "no demand" bar igniting a move down after price touched 3 times the upper median line of a modified Schiff pitchfork drawn using a mirrored BC vector again, with lots of weakness in the background. Right before the "no demand" bar we had a selling peak on indi, that cluster of bars touching the median line could also have been combined mentally to arrive at a very narrow range bar with high volume, thus showing bearish EvR too:
Here another nice example where the Peak indi coincided with a selling climax, with price oversold in trend channel and buying strength in the background. A long could have been taken at the testing of the high volume bars. Also a case where you could have combined the bars and their volumes:
Here the same image as before, but using a pitchfork to catch price action. You can see that the buying peak on indi coincided with the touch of the sliding parallel (or frequency adjusted line), then you could have taken the long at the close of the testing bar, which closed back inside the pitchfork after price was oversold in channel: