Reading tapes for distribution | Wyckoff power chart
A recent episode of Power Charting featured a classic technique of chart reading revolutionized by Richard D. Wyckoff. He called this method ‘tape reading’, but it is actually the art of reading charts bar by bar to assess the future direction of an index, stock, bond or futures contract. How to read this price and volume chart is taught by Mr. It is as powerful and relevant as it was 100 years ago when Wyckoff successfully used this method. A recent Power Charting episode focused primarily on this type of analysis, using a case study approach utilized at Golden Gate University (GGU).
The Current Power Chart (link below) includes a distribution case study from United Parcel Service (UPS). Mr. Wyckoff combined vertical bar chart analysis with dot and figure studies, so we do the same in this case.
The Wyckoff community enthusiastically embraced this research and called for more research. I’m all for it. Reading charts is the most fun a Wyckoffian can have! Bar-by-bar analysis of price and volume is a meticulous process that, once understood, can reap huge rewards. This is a mastery skill. Wyckoffians will study and mark up thousands of charts to find a path to continued mastery at higher levels. My mission in this case is to support you on your personal market mastery journey.
All are the best,
bruce
@rdwyckoff
disclaimer: This blog is for educational purposes only and should not be construed as financial advice. You should not use any of our ideas and strategies without first evaluating your personal and financial situation or consulting a financial professional.
Power Charting Video: Tape Reading for Distribution
video index
00:00 introduction
02:03 New StockCharts Index Members Page
10:43 Prden model – distribution definition
11:30 Wyckoff Rule
11:43 Long Term Weekly Chart (UPS)
14:00 Point and Figure Big Picture (UPS)
15:18 Tape Read Operations (UPS)
21:54 Point and Figure (UPS)
Reference to Wyckoff distribution definition: Click here
Bruce Fraser, a leading industry “Wyckoffian,” began teaching graduate-level courses at Golden Gate University (GGU) in 1987. He worked closely with the late Dr. Henry (“Hank”) Pruden to develop and teach curriculum for many courses. in GGU’s Technical Market Analysis Graduate Certificate program, including securities technical analysis, strategy and implementation, business cycle analysis, and Wyckoff methods. For nearly 30 years, he co-taught Wyckoff Method courses with Dr.
