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Strategies & Market Trends : Timing the Trade the Wyckoff Way -- Ignore unavailable to you. Want to Upgrade?

To: coferspeculator who wrote (126)	6/9/2004 4:49:48 PM
From: coferspeculator	Respond to of 14340

Today the market traded down throughout the day with supply showing the first evidence in the near term of returning to the market. The market ended the day at it's lows on increased spread and higher volume, ending the day in a NEUTRAL condition. Yesterday the market bounced off the former supply line but today saw supply controlling the action as the market finished back in the former downtrend off the highs of the year. Demand, which had been meeting limited supply for the past few weeks, wasn't able to assert enough pressure to move the market back above the supply line. There is limited pressure to the downside at this time so a reaction is expected. The move since the double oversold condition from May 21/25 has provided good results for those putting on short term trades. It is important not to give back profits. In many instances stocks have been taken out (advancing trailing stops triggered) providing 2-1 and 3-1 returns. In a number of instances these have been in excess of 10%, with some being as high as 20%. The speculator doesn't need more than three or four such opportunities a year to end up with an outstanding year. Failure to manage the trade correctly, however, can cause the erosion of good profits. Good trade management suggests that in the worst case situation a minimum profit should be achieved for the period. If the speculator hasn't been moving their stops (exits) up during this move, it is recommended that they take action to make sure that profitable trades don't turn into break-even or losing trades.