This is probably the most important chart I am going to post for a long time. It is the intraday picture of a major distribution. Most of these days were discussed individually since 1 on 10/17. What I want you to notice is the ferocity of the selling drives, many of which I numbered. Look at the volumes together with the length of bars, position of the close, distance travelled, and contrast these to the bars and volumes on the advance. Compare this to the advance prior to 10/17. Print it, turn it upside down and look at it in the mirror where you will have the picture of accumulation.
If you are going to day trade this I would suggest following Mr. Wyckoff's advice and using the point and figure if not as a primary chart at least as one among equals. Notice how clear the reactions are and how clearly they are reactions and not turns. You can observe easily how weak the rallies were today and how little territory they retraced. The most difficult thing in active trading is not being faked out of good positions.
The selling today was heavy with the second largest volume in months and the largest volume since the first day of last month. The volume easily filled the dip buyers and their demand as we saw in the pnf was paltry.
This is probably the most important chart I am going to post for a long time. It is the intraday picture of a major distribution. Most of these days were discussed individually since 1 on 10/17. What I want you to notice is the ferocity of the selling drives, many of which I numbered. Look at the volumes together with the length of bars, position of the close, distance travelled, and contrast these to the bars and volumes on the advance. Compare this to the advance prior to 10/17. Print it, turn it upside down and look at it in the mirror where you will have the picture of accumulation.
If you are going to day trade this I would suggest following Mr. Wyckoff's advice and using the point and figure if not as a primary chart at least as one among equals. Notice how clear the reactions are and how clearly they are reactions and not turns. You can observe easily how weak the rallies were today and how little territory they retraced. The most difficult thing in active trading is not being faked out of good positions.
The selling today was heavy with the second largest volume in months and the largest volume since the first day of last month. The volume easily filled the dip buyers and their demand as we saw in the pnf was paltry.
