Wyckoff trading method, page-1488

Hi @zentrify good to know you are around.

yes, it is usually signified by some initial profit taking, and a consolidating of the recent markup in price, then a re-accumulation (or reset) before another leg up begins.
The textbooks of the standard Wyckoff schematic will usually show the phases as an Accumulation, a re-accumulation, then a distribution (and then re-distribution).
But it doesn't 'have' to be exactly like that, there can be multiple re-accumulations one after the other with a leg up in between, although the re-accumulations will often be a bit more violent that the 'nice little wiggles' seen on the standard Wyckoff schematic, and there may not be any actual distribution (well not if the stock remains strong and growing anyway).
Same on the way down...if there is no decent reason for a 'proper accumulation' to begin, then there may be multiple re-distributions (using short selling), until price becomes very very low (and are often covered by capital raisings, or in the dark pools, therefore avoiding any short squeeze).

So be flexible in your thinking, and don't always expect price will always follow the standard Wyckoff schematic.



cheers