Edit: In the text inside OBV, there is a mistake, it was meant to be written "to last ST". Sorry for the mistake!
An objective of the Wyckoff Method of technical analysis is to improve market timing when establishing a speculative position in anticipation of a coming move where a favourable reward/risk ratio exists to justify taking that position. Trading Ranges (TRs) are places where the previous move has been halted and there is relative equilibrium between supply and demand. It is here within the TR that campaigns of accumulation or distribution develop in preparation for the coming move. It is this force of accumulation or distribution that can be said to build a cause which unfolds in the subsequent move. The building up of the necessary force takes time and because during this period the price action is well defined, trading ranges present particularly good trading opportunities with potentially very favourable reward/risk parameters. To be successful, however, we must be able to correctly anticipate the direction and magnitude of the coming move out of the trading range. Fortunately, Wyckoff offers us some guidelines and models by which we can examine a trading range.
Very clean and well drawn chart... I like it. Similar to the wyckoff I thought of a while ago as well.
BTC_Daily.Pips
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Thank you very much for appreciation and your chart! It is amazing how it helps to determine future trading range, price action and thus good R/R ratio trades.