Son of If You Can Draw a Straight Line . . .

[dbphoenix]

Quote from MadeMan:

i think the first page of this thread at TL should also be a stickie over here.. explains quite well the approach..

http://www.traderslaboratory.com/fo...-trading-foresight-wyckoff-forum-archive.html

Glad you got something out of it, but the problem is not lack of explanation, it's fear fog. And the lack of a thoroughly-tested, consistently-profitable trading plan. Without the plan, nothing can be done about the fear. And as long as the trader is afraid, all the explanation in the world won't make a dent. Took me longer to accept that than I care to admit (like several thousand posts), but there you are.

Beginners are easy to work with because they get it so quickly. But those who've already become trapped in the loss cycle are difficult to impossible, particularly if they're addicted, which many are. Unfortunately, quite a few have families to support.

 

[MadeMan]

some obersvtions ive done on wyckoffs 1930 chrts
this stuff never gets old ...

 

[MadeMan]

Quote from dbphoenix:

Glad you got something out of it, but the problem is not lack of explanation, it's fear fog. And the lack of a thoroughly-tested, consistently-profitable trading plan. Without the plan, nothing can be done about the fear. And as long as the trader is afraid, all the explanation in the world won't make a dent. Took me longer to accept that than I care to admit (like several thousand posts), but there you are.

Beginners are easy to work with because they get it so quickly. But those who've already become trapped in the loss cycle are difficult to impossible, particularly if they're addicted, which many are. Unfortunately, quite a few have families to support.

True dat! the thing is one must get confident in what he is doing and that is gained thru expirience and working on ones approach while in development! one has to take full responsibilty on each trade taken , review and learn from it and thus gain expirience and confidence, wich also means he MUST be true with oneself and his flaws and failures ie. selfreflection .. and work on it even if it means to change ones lifestyle outside of trading and rethink if he is on the right path on his REAL journey , wich is life ...

 

[Huyang]

MadeMan:
Could you please explain why you think the market is on the spring board in your second chart? i feel your springboard is different from springboard in the following chart with notes from Wyckoff. Prob i am thinking in a shallow level. Thank you very much.
http://i.imgur.com/2HnIwqh.jpg

 

[MadeMan]

Quote from Huyang:

MadeMan:
Could you please explain why you think the market is on the spring board in your second chart? i feel your springboard is different from springboard in the following chart with notes from Wyckoff. Prob i am thinking in a shallow level. Thank you very much.
http://i.imgur.com/2HnIwqh.jpg

Hi Huyang!

First Off iam glad that you dig that Deep into that methology/Approach
Keep it on !

as the Chart of wyckoff represent one Day per bar
U could think Off waht happened within those bars?

A springboard is price Approaching a level of interrest
Wheter it be Support or Résistance but the Path of least
Résistance is opposing the Force wich would be Expected.
Upon that level in my and in your Case Support , therfore
If u excpect buying at a level but price keeps making LHs and LL
Torwards and Thru that level its just a mather of time Till the Bulls puke
And Propelle price away from that level , wich Acts as a springboard

And if u Look at my Chart u can see the action on a larger Intervall
Ie it takes several bars and one where it Takes a few bars , but if you can
Or could Zoom in the PA would Resemble the Same action..

I cant post Charts for the time beeing but Imagines the 3 bars before
07/03 Containe a Range between its high and lows

Now just Focus on the close of the bars 07/03 and 07/06
One is at the MP and one is Off the. MP but price comes back
Just Imagine u could See the action on a smaller Intervall
Like the M5 , and u could See how price Approaches the MP
Reacts rallies moves Down again makes a LL reacts makes a LH
Moves Thru the MP reacts makes a LH moves lower , all Bulls get anxiety
And eventual Start to puke and propell price away...

So if the path of least Res. Is opposing what you expect that level of approach should
Be , it may Act as a springboard in the opposite way

For example the springboard Off the MP of my First drawing
Resembles a Former value area MP wich gets rejected as a unfair
High , acts as a springboard to the downside as the path of least Résistance
Is Down and demand couldnt withstand that pressure

I will Post a chart tomorrow to Elaborate it more , Till then all the best

 

[Huyang]

Madman:

I donot think i understand your elaboration well, and look forward to read your chart. To save your time, please explain the reasoning for one springboard in your chart. Thank you very much.

 

[MadeMan]

Quote from Huyang:

Madman:

I donot think i understand your elaboration well, and look forward to read your chart. To save your time, please explain the reasoning for one springboard in your chart. Thank you very much.

Huyang

notice how price makes continoues lower highs and lows towards
and thru potentil support levels... as price grinds its way thru that levels and retests them , where price gets rejected off , we re on a springboard situation , wich can happen in any TF , some tke several
weeks , like the first example.. some take just a few days like the second example.. but look at the second example look at the bars highs and lows.. it makes continous lower highs and lows and before
it drops we hada rallie attempt and it close at the lows , ie, the rejection..


so basically your example or wyckoffs , could look like this in a smaller TF .. where again the same features may happen

all in all price is on a springboard if it sort of grinds at or thru
sup.,res.,mp.,extremes, without significant reactions , price keeps
pushing back/thru , (path of least res.)


look at a short i took , we approach sup. activity increases (vol.)
but we cant seem to lift price off that sup. we even make a series of lower highs and lows . we are on a pot springboard situation,iplayed it and it went good
http://elitetrader.com/vb/showthread.php?s=&threadid=278394&perpage=6&pagenumber=4

 

[dbphoenix]

Quote from MadeMan:

all in all price is on a springboard if it sort of grinds at or thru
sup.,res.,mp.,extremes, without significant reactions , price keeps
pushing back/thru , (path of least res.)

Put more succinctly, price is on the springboard when it is preparing for a significant advance or decline. Therefore, your "1" is a springboard whereas your "2" is the consequence, if I'm understanding your examples.

Anyone who's interested in this can scan Wyckoff's course using "springboard" or search the Wyckoff Forum at TL using the word. If there are too many hits, he can reduce the number by using my name as part of the search.

It is important not to allow what is basically an off-hand reference to a market phenomenon to become a lynchpin for a set of tactics whereby the trader searches for "springboards". There are no defining characteristics for a springboard other than that price is getting ready to do something. It's much more important to look for that and what it's doing and why it's doing it and where it's doing it. The springboard is defined by what one understands about market dynamics, not by a set of mechanical criteria. If one has that understanding, he'll see what he needs to see without necessarily being able to put a label to it.

 

[MadeMan]

Quote from dbphoenix:

Put more succinctly, price is on the springboard when it is preparing for a significant advance or decline. Therefore, your "1" is a springboard whereas your "2" is the consequence, if I'm understanding your examples.

Anyone who's interested in this can scan Wyckoff's course using "springboard" or search the Wyckoff Forum at TL using the word. If there are too many hits, he can reduce the number by using my name as part of the search.

It is important not to allow what is basically an off-hand reference to a market phenomenon to become a lynchpin for a set of tactics whereby the trader searches for "springboards". There are no defining characteristics for a springboard other than that price is getting ready to do something. It's much more important to look for that and what it's doing and why it's doing it and where it's doing it. The springboard is defined by what one understands about market dynamics, not by a set of mechanical criteria. If one has that understanding, he'll see what he needs to see without necessarily being able to put a label to it.

yes u are right , i guess i was more explaining and or looking at
absorbtion , or like in the examples consumption of demand/buyers at supp...

nevertheless absorbtion is a signal that price is about to move and therefore a "springboard "?

is every range a "springboard" then ?

The springboard is defined by what one understands about market dynamics, not by a set of mechanical criteria

thats pretty much what iam saying.. but it seems i cant express myself clearly.. mostly due to language barriers.. whatever..
it happens to be that the examples i put out look almost identical in nature , but thats just coincidence.. and not a pattern iam on a lookout for.

cheers

 

[dbphoenix]

Quote from MadeMan:

yes u are right , i guess i was more explaining and or looking at
absorbtion , or like in the examples consumption of demand/buyers at supp...

nevertheless absorbtion is a signal that price is about to move and therefore a "springboard "?

Absorption can provide such a signal, provided one can recognize it in real time, which few people can. But absorption only applies to stocks anyway, along with accumulation. If there's no float, there's nothing to absorb.

Generally speaking, it's preferable to wait until price actually moves rather than try to determine whether or not it's getting ready to do so, despite what the vendors spout in their courses. Which is where the supply/demand lines come in.