Backtesting Wyckoff Method

Triple B said:

Gday Guys .

Wyckoff mentions in his Course book that if a strong trend retraces up to 50% I t can be expected to continue. The less retracement the stronger the resuming trend may be.
I am considering using Fibbonacci levels in my trading .
Never heard of weis waves. might already be an indicator out that does that exact thing under another name.
The closest thing I think to that book duck is the tradeguider software . now available as a plug in for NT.
not cheap and they have separated it into 3 separate plug ins I think , for extra $$$.

Click to expand...

Stopped using Tradeguider years ago
It’s a good introductory software for beginners
As you become more proficient you’ll slice through the fluff and know what you need to know
It becomes second nature
I think you can code better more meaningful signals for personal use
Tradeguider is designed to appeal to the masses
Lots of arrows and look at me bits

Great for sales
Not so good for practical applications

The book is still available.
There is also an electronic edition
Amazon product ASIN 047013898X

jjbinks said:

The book is still available.
There is also an electronic edition
Amazon product ASIN 047013898X

Click to expand...

Noticed at the bottom of the amazon page "Trades about to happen" By David Weis!! I assume the same guy hja mentions with the " weis waves" .

Good book that one Triple B

The typical acc-dist chart of Wyckoff is rare so backtesting that would be hard. Double bottom identification would be your choice for finding a acc/dist channel. That's easy enough to find for most platforms.

Stocks and other instruments obviously get marked up and down. That can be coded by looking for steep angle moves above/below longer term supp/res.

Wyckoff used to use PnF to predict the extent of a move, but backtesting PnF would be impossible. Cause and effect could be done, but only if you can see a clear acc/dist channel. Count the up volumein the acc phase, then watch the unwinding volume as price climbs.

I don't think it's codable as a whole. Parts of it can be. Cause and effect is the most powerful, imo.