Australian (ASX) Stock Market Forum

Good book on VSA and Wyckoff?

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tech/a said:
Just a word of warning from someone who has used VSA for a few years.
While it is an amazing tool it will take quite sometime before you ACTUALLY get your head around it.If you cant associate with the reading of volume being almost the exact opposite of what is commonly accepted then you haven't yet grasped it.

VSA spits out signal after signal. These signals are POSSIBILITIES ONLY
If you take a signal to be gospel in its own right you'll be bitterly disappointed with your trading and VSA.

Some hints.
(1) On trends look for signals with the trend.
(2) On reversals look at where a likely reversal will occur---Support/Resistance and watch for signals supporting either the REVERSAL VIEW or the CONTINUATION VIEW
(3) If trading futures swing trading is excellent when you understand reversals.
(4) Most setups are multi bar.
(5) Much of the benefit of VSA analysis is NOT TAUGHT. You'll see what I mean as you watch 1000s of hrs of charts!
(6) Low volume in the right place at the right time will tell you more than the high volume PRECEDING it! Thats not in any book!
(7) Few can read VSA properly and even fewer can apply it. Be VERY WARY of home made code its often way wide of the mark and coded from a background of little knowledge---the OBVIOUS ISN'T OBVIOUS.---if you think it is then you haven't GOT IT!

Its worth the effort.
Click to expand...

Thanks for posting this.

There is MUCH MUCH work ahead of me. I couldn't care less about a timeframe for being profitable, my focus is on diligently studying, observing and applying these principles.


It's tough because there are no hard or fast mechanical rules but obviously things to look for. I am going through the course a second time now and creating notes with some general guidlines, keeping in mind that that is all they are - guidlines.
 
pavilion103 said:
Supply and Demand are the factors driving the market and I feel that the better understanding I can get of this, the closer I am to understanding why the market behaves as it does.
Click to expand...
Okay thanks. I suppose resource demand is keeping our market resilient to a degree from the debt issues in Europe/USA.
 
One question for Tech or anyone else proficient in VSA:

I am so used to buying mainly breakouts. So that is often clear when to enter and often there is no overhead resistance to worry about.

When I look to enter on a down wave on, say a minor selling climax with positive volume indications, what are the best signs for me to look for to determine if price will THEN be able to push through the resistance to the left?

I guess I am so used to entering above resistance that I haven't thought to much about it before. Any time I'd approach new resistance previously, I would just tighten my stop. But in terms of pushing up through resistance I'm not so sure.

One thing I can think of is that pushing through the resistance is more likely if the stock shows little effort on the decline (no supply).

Once again, forgive my ignorance. I've been working through this for 10 hours so far today and some input would assist me greatly :)
 
tech/a said:
Just a word of warning from someone who has used VSA for a few years.
While it is an amazing tool it will take quite sometime before you ACTUALLY get your head around it.If you cant associate with the reading of volume being almost the exact opposite of what is commonly accepted then you haven't yet grasped it.

VSA spits out signal after signal. These signals are POSSIBILITIES ONLY
If you take a signal to be gospel in its own right you'll be bitterly disappointed with your trading and VSA.

Some hints.
(1) On trends look for signals with the trend.
(2) On reversals look at where a likely reversal will occur---Support/Resistance and watch for signals supporting either the REVERSAL VIEW or the CONTINUATION VIEW
(3) If trading futures swing trading is excellent when you understand reversals.
(4) Most setups are multi bar.
(5) Much of the benefit of VSA analysis is NOT TAUGHT. You'll see what I mean as you watch 1000s of hrs of charts!
(6) Low volume in the right place at the right time will tell you more than the high volume PRECEDING it! Thats not in any book!
(7) Few can read VSA properly and even fewer can apply it. Be VERY WARY of home made code its often way wide of the mark and coded from a background of little knowledge---the OBVIOUS ISN'T OBVIOUS.---if you think it is then you haven't GOT IT!

Its worth the effort.
Click to expand...

Hi Tech/a.

I have seen mentioned, you may produce a book.
I have concluded from your many posts(rightly or wrongly by me), that you have seen many concepts of trading strategies.
I have as well, and what is noticable is the concepts that are common, and the concepts that would help.

In this post above I see how you are putting it together.

If you get to the book stage, I would like to be on the purchase list.

Because I believe the book you will produce, will be a methodical approach to trading by choosing the good points from many concepts.( the ones that fit together).
As you have mentioned before, price and volume form the complete picture.

But the different pictures are invisible to most.

The reason I have posted is, I have just read "Charting the Stock Market" the Wyckoff Method. I have also read Master the Markets.

As you proceed to accumulate a trading education, you come to realise the mental stimulation as you put the concepts together.
No doubt you have more than one objective than( to trade profitably).

Hopefully your efforts will be rewarded.( i have no doubt they will).

joea
 
Joea.

There is a well known educator in the process of producing a book exactly as you describe.I've been fortunate enough to have a sneak peak at a snippet of one aspect of the book.
Let me say its left me wanting more.

As for me.
My idea is to do a joint publication with my Son.
Having a PHD in the mix won't be that tardy when it comes to content.
Way way off in the distance I'm afraid as we are both terribly busy particularly Kris.
But the basis has been discussed.

In the meantime there is a promising book just around the corner which isn't mine.
 
Hi.
Amazon has released an alert for those who are interested in a preorder for "Trades About to Happen, (A modern Adaption of the Wyckoff Method".

I thought it appropiate I posted on this thread as well.( However i do not know if it will be a good book). Hopefully it will.
joea
 
Tech/a and others...

I came across the book, "Trading in the Shadow of the Smart Money," (Vol 2) by Gavin Holmes.

It is basically a summary of signs of strength/weakness from the notes they use in Tradeguider. There are two sections 1. Signs of Weakness 2. Signs of Strength.

Has anyone come across this one? Handy summary.
 
Have it
It's best to have the software as you can see the bars labeled.
You can see how they fit.
Reading and attempting to identify the setups is far from successful for most.
 
Well I have worked out one thing.
Anything that is free from Tradeguider has a catch to it.
Look closely at all the freebees, then link the associated costs.
Then link the mentor programs to it because, what you purchased still does not give the complete picture.
joea
 
joea said:
Well I have worked out one thing.
Anything that is free from Tradeguider has a catch to it.
Look closely at all the freebees, then link the associated costs.
Then link the mentor programs to it because, what you purchased still does not give the complete picture.
joea
Click to expand...

I agree

They have taken a very good trading methodology and packaged it with so much WHO HA you cant define what's needed and what's not.
Its pretty clear what's making the green and its NOT VSA trading.

mind you its also a very good exercise in marketing.
it certainly works.
They also bring in clients who are enthusiastic about Tradeguider and put them up as experts on a video.

"Look you too can be one of these guys/gals"!

Bill Williams must be shaking his head.
You know I think he really was and is passionate about the art of trading.
Its been lost some what with Gavin's machine---
 
joea said:
Hi.
Amazon has released an alert for those who are interested in a preorder for "Trades About to Happen, (A modern Adaption of the Wyckoff Method".

joea
Click to expand...

Well "Trades about to Happen", has been postponed 4 times and it will not be available until 2013.
One can only assume the book will not be printed and released until pre - orders cover the costs of the first run, and that has not happened.
joea p.s. only had two chapters in Charting the Stock Market.
 
joea said:
Well "Trades about to Happen", has been postponed 4 times and it will not be available until 2013.
One can only assume the book will not be printed and released until pre - orders cover the costs of the first run, and that has not happened.
joea p.s. only had two chapters in Charting the Stock Market.
Click to expand...

Im hopeful that this book goes (as it should) well beyond the pure signal (Which Tradeguider Algorithms show) after all the signal is nothing more than a setup generated by a single/double or multiple bar/s.

Most of these types of books fall way way short in helping traders apply the indicators of "Trades About to happen" into a profitable methodology.

Id also like to see some testing on the suggested methodology to see how profitable these "Trades about to happen" can actually be.

Now THAT WOULD BE A BOOK---wouldnt it!
 
tech/a said:
Im hopeful that this book goes (as it should) well beyond the pure signal (Which Tradeguider Algorithms show) after all the signal is nothing more than a setup generated by a single/double or multiple bar/s.

Most of these types of books fall way way short in helping traders apply the indicators of "Trades About to happen" into a profitable methodology.

Id also like to see some testing on the suggested methodology to see how profitable these "Trades about to happen" can actually be.

Now THAT WOULD BE A BOOK---wouldnt it!
Click to expand...

Yes it would, but I am worried about my longevity to read it!!:D
joea
 
Trades About to Happen, has once again been postponed to March - April 2013.
I have edited my pre-order postal address on Amazon " to the after life".:D
My local postie has been advised!!!!! :bananasmi
joe p.s. Thank god Nick came to the rescue with something good to read.:cool:
 
As a part of my regular study I've spent some of today reading over "The Richard D. Wyckoff Method of Trading and Investing in Stocks" again.

I'm loving the wealth of information that this book contains.

Having read about 30 trading books since I commenced my study (only 2 or 3 in the last year), I find the most beneficial use of my time in terms of reading materials is to go over this book again and again and again.

I particularly read and re-read chapter 7 with the practical analysis and charts. I seem to get so much out of it every time.
 

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