Wyckoff Power Charting

Bruce Fraser
About the author: , an industry-leading "Wyckoffian", began teaching graduate-level courses at Golden Gate University (GGU) in 1987. Working closely with the late Dr. Henry "Hank" Pruden, Bruce developed curriculum for and taught many courses in GGU's Technical Market Analysis Graduate Certificate Program, including Technical Analysis of Securities, Business Cycle Analysis and the Wyckoff Method. For nearly three decades, he co-taught Wyckoff Method courses with Dr. Pruden, and has also used this approach to the markets as the foundation of his own trading for over 35 years. Learn More

Latest Posts

Wyckoff Power Charting

Health Care Plan

by Bruce Fraser

In March of 2017 the Health Care Sector (XLV) emerged from a large Reaccumulation structure into a fresh new uptrend. Much has happened since then. Let’s update the status of this uptrend. After a sustained advance from 2009 to 2015 the trend stopped and a Reaccumulation formed. This trend stopping area was flagged by a base PnF count (click here to view). After the Reaccumulation the uptrend resumed. The PnF Counts have provided a useful road map for the likely direction and extent of the trend. Recently a Count has been fulfilled. Does this suggest that XLV has completed a bull run? Or Read More 

Wyckoff Power Charting

Campaigning Crude Oil

by Bruce Fraser

It is time to update the blog post, 'Crude Oil Runs with the Bulls', of November 11, 2017 (click here). Our Crude Oil ($WTIC) odyssey began in December of 2015 with a study of the Distributional Top touching $112. A Distribution Point and Figure (PnF) count produced an almost unbelievable price objective of $34 / $28. That December $WTIC fell to about $35. On the chart below note the early February 2016 low as the climactic action continued to skid lower. On the way down $WTIC formed a Redistribution PnF count that confirmed the objective of the Distributional top PnF Count at $30 / $28 Read More 

Wyckoff Power Charting

deFANG'd?

by Bruce Fraser

In June we studied the First Trust Dow Jones Internet Index Fund (FDN). This ETF is our proxy index for the FANG stocks. At that time FDN had accelerated into an overbought condition by throwing over its trend channel. Almost immediately weakness set in and FDN tumbled to the lower trendline. The rush of FDN into the June Buying Climax (BCLX) had the appearance of institutions crowding their buying into quarter-end, late in the uptrend. The decline that followed was significant and was labeled an Automatic Reaction (AR). As Wyckoffians when we observe such market action, a ‘Change of Read More 

Wyckoff Power Charting

Semi-Tough

by Bruce Fraser

Back in December of 2017 we asked ‘Do Semiconductors Still Compute?’. An epic rally that began in 2016 had Climactic qualities as SMH accelerated into year-end 2017. Two different PnF counts were fulfilled on that rally surge. After a sharp break on high volume it appeared the rally had run its course. That blog post made the case for a range-bound condition for the semiconductor index for the foreseeable future. Let’s bring this Wyckoff analysis up to date. Begin by reading ‘Do Semiconductors Still Compute?’ (click here for a link) with particular focus on the Read More 

Wyckoff Power Charting

Prospecting for a Low in Gold

by Bruce Fraser

Gold began an uptrend in 2001 which persisted for more than 10 years. At the conclusion of that trend, gold had a classic Buying Climax (BCLX) which led to a Change of Character. For the last 5 years gold has made no upward progress. Is gold getting ready to resume the prior uptrend, or is it a sideways trend about to become a new downtrend? Wyckoff is a scalable methodology and thus works in many timeframes. If we want to understand the likely direction of the big trend, we evaluate bigger chunks of data. Wyckoff is always about what to do and when to do it. With gold we are starting our Read More 

Wyckoff Power Charting

Residential Deconstruction

by Bruce Fraser

Charts are sometimes a mish-mash of contrary messages. As a general rule Wyckoffians will attempt to avoid these situations. But they can be valuable case studies. Residential Construction has been a Relative Strength (RS) laggard during all of this year after a surging climactic run in 2017. See the classic Trend Channel that framed the uptrend for the SPDR Homebuilders ETF in the weekly chart below. After a throwover of the channel (producing an Overbought condition) a Change-of-Character dropped the price of XHB into the channel. Thereafter persistent weakness Read More 

Wyckoff Power Charting

Homework Assignment

by Bruce Fraser

ChartCon 2018 is fast approaching and preparations are being made. Let’s take a few minutes during this busy week to study some charts. For contrast we will compare the NASDAQ Composite, which is one of the leadership indexes, to the Dow Jones Industrials, which is a laggard.  A big thank you to fellow Wyckoffian, Roman Bogomazov, for his collaboration in the preparation of these charts for original publication in the Wyckoff Market Discussion sessions (click here for more information).                  Read More 

Wyckoff Power Charting

Russell Revisited

by Bruce Fraser

One year ago, we analyzed the Russell 2000 Small Cap Index ($RUT) in a Wyckoff Power Charting blog post. An evaluation of the vertical bar chart and the Point and Figure objectives pointed to higher prices (click here to read the ‘Hustling Russell’). Please review this prior post before proceeding. Now the $RUT is fulfilling those PnF objectives, let’s revisit the counts and see what could happen from here. Roman Bogomazov and I were guests on MarketWatchers LIVE this past Thursday (thanks to Erin and Tom for having us on to introduce our new program ‘Power Charting’ Read More 

Wyckoff Power Charting

Is Your Money Safe in Banks?

by Bruce Fraser

July is a busy month. Preparations are taking place for the upcoming ChartCon. And Roman Bogomazov and I are launching our new StockCharts TV program ‘Power Charting’. Power Charting will be broadcast weekly on Friday at 3pm EDT with repeats thereafter. Our emphasis will be on Wyckoff Method basics using live case studies. We hope you can join us. Despite the craziness let’s take a few minutes for some Wyckoff Analysis. Here we will evaluate an important bank stock. Recent activity in the banks hint of their desire to become active and leadership again. Time will tell if this is a Read More 

Wyckoff Power Charting

Tactical Dilemma

by Bruce Fraser

While some major indexes have pushed to new high ground recently, the Dow Jones Industrial Average ($INDU) has remained a notable laggard. This creates a tactical dilemma for Wyckoffians. Is the weaker Dow Jones Industrial Average offering a ‘tell’ by lagging the broad market? Or is the industrial (thirty) stock index being left behind by more dynamic indexes that are launching into fresh new uptrends?  Wyckoff is an actionable method that emphasizes what to do, and when to do it. Wyckoffians try to not get caught up in the popular market thinking about why markets and stocks rise Read More 

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