The Wyckoff Method
Nearly 100 years ago, Richard Wyckoff developed a ground-breaking methodology which linked the secret activities of the large, well-informed traders to price movement on the chart. Free of tips, rumors and reaction to news events, Wyckoff’s method is based on a logical reading of price bars and volume. His method was so complete and so revered by traders that in the 1970s, 80s and 90s, those “in the know” spoke of the Wyckoff Method in whispers.
Times changed, of course. The advent of computer technology has had its effect on everyone, traders included. With advanced computer processing, traders embarked on an incessant hunt for the Holy Grail, looking to mathematical models, algorithms and indicators. They all but forgot the effective chart reading method Wyckoff had developed.
Fortunately, RichardWyckoff.org has not forgotten!
As you read the description of the Wyckoff Method below, you will quickly realize that it is not based on buy and sell signals derived from some statistical indicator that is difficult to understand. It is a logical, comprehendible method that makes sense. Wyckoff worked at a time before computers; he drew his charts by hand! He developed an intimate knowledge of the markets and knew when a stock was about to take off. It is a vastly different method than an indicator that signals so many miss-fires that you can no longer trust it.