Wyckoff trading method, page-1508

This ANN chart is actually a bit of a complex chart to read, and could be split into two or three separate parts.
It has a gap down in the background, which saw a downbar form with a potentially speculative buying in it, then a fair amount of that spec buying looks to have been dumped when it wasn't working, and price sliced down even further (and saw fresh new support come in).
Then after that things traded more clearly, and while one of your lines isn't in exactly the same places as mine, it is pretty good and not too dissimilar at all.
Yes there is a spring there (albeit a bit of a deep one), and yes there is a big gap up over that line with 'intent', on an increase in volume.

Price has currently come back to the line level with the previous low (same as on my chart), and has drawn out a little more supply than previously, which looks to have been absorbed so far. Then a new little spring has appeared (which has not responded yet, but maybe about to) . If price put in a low volume test or no supply bar on a daily timeframe early this week (we are on a weekly timeframe now) around the level of that line, you could buy it with fairly low risk (of failure & the cost of being stopped out), in anticipation of an acceleration higher, with a stop placed just under your lower line (being brought up to breakeven reasonably quickly).




cheers