🌊 Riding the Whale's Wake: The Laws of Wyckoff ⚖️
If the four phases are the "map," then these three laws are the "engine" of the market. To trade like a Demon, you must master the logic behind the trend.
1. The Law of Supply and Demand 📊 This is the heart of the market. When demand is greater than supply, prices rise (Markup). When supply overwhelms demand, prices fall (Markdown). We look for the "Absorption" point—where the whales have sucked up all the available supply, leaving the path clear for a moon mission.
2. The Law of Cause and Effect 🎯 Markets don't just explode out of nowhere. The "Cause" is the period of Accumulation or Distribution. The longer the market stays in a sideways range (the Cause), the more violent and sustained the eventual breakout (the Effect) will be. Patience during the sideways grind is where fortunes are built.
3. The Law of Effort vs. Result ⚡ Imagine huge trading volume (Effort) but the price barely moves (Result). This is a massive warning sign! It means the "Smart Money" is stopping the trend. When Effort and Result are out of sync, a trend reversal is imminent.
Master’s Tip: Don't predict. Interpret. Watch the volume, identify the cause, and wait for the whales to signal the direction.
Which law do you find hardest to spot on a live chart? Let’s break it down in the comments! 👇
#WyckoffLaws #TechnicalAnalysis #Binance
