Lesson / WY-01-06
Distribution describes a process after an advance in which buyers gradually lose their ability to move price and sellers begin creating conditions for a potential decline. Active trading at high prices does not automatically establish distribution because strong buying also produces high volume. The key questions are whether greater activity produces less extension above the prior high and whether sellers subsequently break support and sustain trading beneath it.
Course content is for learning and research only. It is not investment advice.
Read the Chapter ↗Timestamps
7 lessons · Chapter contents
01Accumulation↗02Markup↗03Distribution↗04Markdown↗05Reaccumulation and Redistribution↗06Trend Stopping, Entry into a Range, and Trend Reversal↗07The Four Price-Cycle Processes and Phases A–E↗Observe the market: start with context and place price within its structure.
Understand structure: compare supply and demand, and let evidence support or revise your hypothesis.
Form a view: define risk limits and know when to reassess.
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What the Wyckoff Method Studies
The Composite Operator Model and Strategic Interaction in Trading
