Technical Analysis7 min read
The Wyckoff Method: Reading Markets Like a Pro
The Wyckoff Method identifies accumulation and distribution phases. Learn the basics of this classic approach. Accumulation, distribution and the events that.
The Four Phases
- Accumulation: Smart money buys quietly — price ranges
- Markup: Price breaks out and trends up
- Distribution: Smart money sells quietly — price ranges at the top
- Markdown: Price breaks down and trends lower
Trading the Wyckoff Method
The best trades come at the end of accumulation (buy) and the end of distribution (sell). Identify the ranges, wait for the breakout, and trade the markup or markdown phase.
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70-80% of retail investor accounts lose money when trading CFDs. Backtesting does not guarantee future results. Always consider whether you can afford the potential loss of your capital.