Wyckoff trading method, page-431

NWZ Update-

Since the last update, where I was beginning to like the price action.
NWZ continued to respond positively, and made it above the 2.8cps line, and closed @3cps for two bars.
Price then came back to close at 2.8cps on very little volume, which was all good......
Then Mondays bar made a weak attempt to rise, but ended up closing level on a sharp increase in volume (so (unexpected) supply was present).
So in response to that increase in supply on Monday, priced dipped lower on Tuesday (in an attempt to flush out any more supply), but closed back level and volume was reduced, suggesting price is still poised to make an attempt to rise.

(TG named Tuesdays bar a "Basic Test" - which is a normal test, but one which may have more volume than a 'normal' test, and can appear as a mini shakeout)

So we have a potential basic test, which now needs an upbar to be successful.

Expectation is for a rise tomorrow, if not, a secondary test (looking for lower volume), and if there was a price failure now, expect a further (possibly deeper) pullback.



cheers