As a trader, you should be familiar with some of the leading theories concerning market structure and cycles. Some of the more popular ones include the Elliott Wave Principle and the Dow Theory. Nevertheless, today we will add one more important type of market analysis to your trading arsenal. We will be taking a deep dive into the price action based methodology known as the Wyckoff trading method.
The first rule of Richard Wyckoff states that the market never behaves the same way. Price action will never create a move in exactly the same way that it did in the past. The market is truly unique.
The second Richard Wyckoff rule is related to the first one. It states that since every price move is unique, its analytical importance comes when compared to previous price behavior.
The first rule of Richard Wyckoff states that the market never behaves the same way. Price action will never create a move in exactly the same way that it did in the past. The market is truly unique.
The second Richard Wyckoff rule is related to the first one. It states that since every price move is unique, its analytical importance comes when compared to previous price behavior.