Wyckoff Approach to Mem Stocks

I have been looking over the charts and reading (… And then reading again and again) information and books on Wyckoffian approaches toward understanding the market environment. I am attaching my most recent analysis here

My purpose in making this post is to encourage people to join me in trying to analyze meme stocks using the tool that is Wyckoff Analysis. My goal is to encourage regular dialogue about this such that we can learn from one another rather than falling susceptible to confirmation bias and group think bc these are bad tools and detrimental to our academic understanding of the markets. let’s work together to better one another!!!

Now, I understand that many of you already are rolling your eyes 🙄 about the application of technical analysis (in most any capacity) toward the meme stocks, but I want to provide and answer as to why technical analysis is actually an objective representation of market manipulation being put into practice. This is what Wyckoff schematics provide. They provide the psychology surrounding why it is that these events are happening. This is in contrast to blind acceptance to statements such as a “head and shoulders” pattern typically predict an upcoming downward move. The Wyckoff approach says that what is likely happening in a “head and shoulders pattern is that there was likely some form of push upward followed by a buying climax (left shoulder), followed by a push downward known as the automatic reaction downward (e.g. people taking profits) which is then followed by another push up for a secondary test upward which may reach a peak known as an upthrust if we are in an overall upward general trend, and is known as an upthrust after distribution (UTAD) if we have been in a general downtrend (e.g. head formation). If it does not move any higher, this confirms the continued downtrend (distribution phase). The exception to this is in identifying whether there is a spring present which will inevitably propel the stock up from below the trading range and back into it and perhaps, even well outside of it to begin a new net accumulation phase.

Overall, my point is that we can use this tool to predict meme runs and the more resources and people willing to participate, the better we become. Knowledge is power… EMBRACE IT!!!

Tldr; markets are rigged, let’s study patterns to predict and, more importantly, understand their motives behind their actions.