After finishing the second round of The Wyckoff Method In Depth. I bought the author’s another book Trading & Investing for beginner for reference use.
There is an section about Trend Analysis. He describes that using speed / depth / projection of the trend can figure out the strength of this wave. This looks legit, but I didn’t see / can’t remember any other authors on technical analysis ever mention about it.
So, my question is:
a. Is this his own opion / invention or someone really has a verified theory on this. I’ve do a quick peek of elliot wave theory, but I am not interesting on counting 5 waves sine I know market will not always show the perfect 5 waves for me.
b. sure, even I know the last wave is strong / weak, but there is no guarentee that when I enter the market, this will be a strong / weak market as I expected. So entry the market when its not in a consolidated / equillium state, looks like gambling.
I know in some method like CANSLIM can use moving average as a trading indicator. But lots of time the long period indicator is a lagging one. When you enter you just hit the beginning of bearish market.
any suggestion on enter the market like this? or just set the stop loss order and finger cross / wish for the best.
submitted by /u/momofarm to r/Wyckoff
[link] [comments]