WYCKOFF EVENTS AND PHASES: DJIA

PSY—preliminary supply

BC—buying climax

AR—automatic reaction

ST—secondary test

SOW—sign of weaknessw

UTAD—upthrust after distribution.

Phase A: Phase A in a distribution TR marks the stopping of the prior uptrend.

In a redistribution TR within a larger downtrend, phase A may look more like the start of an accumulation

Phase B: The function of phase B is to build a cause in preparation for a new downtrend.

Phase C: In distribution, phase C may reveal itself via an upthrust (UT) or UTAD.

Aggressive traders may wish to initiate short positions after a UT or UTAD.

Phase D: Phase D arrives after the tests in phase C show us the last gasps of demand.

Phase E: Phase E depicts the unfolding of the downtrend