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Price Action Methodology

Wyckoff Theory

Master the art of reading institutional footprints through Wyckoff methodology. Understand accumulation, distribution, and trade with smart money.

4
Market Phases
10
Wyckoff Events
Multiple
Trading Setups
Key
Volume Logic
Market Phases

Markup Phase

Understanding the Wyckoff Market Cycle

Wyckoff divides the market into 4 main phases that repeat across all timeframes. These phases are not random—they reflect institutional intent. By understanding where the market currently is, you can stop predicting blindly and start reading what Smart Money is actually doing.

Every trend begins and ends with a purposeInstitutions follow a repeatable cycleThese phases apply to all markets and timeframesRecognition > Prediction

Markup Phase Chart

MARKUP PHASE Demand Overwhelms Supply - Uptrend Begins ACCUMULATION END MARKUP PHASE (Strong Uptrend) → DISTRIBUTION RESISTANCE SUPPORT Pullback Pullback Pullback VOLUME Breakout Volume Volume Expands on Up-moves, Contracts on Pullbacks Volume Declining

Overview

Markup begins when accumulation is complete and demand finally overwhelms supply. Price breaks above the accumulation range and a clear uptrend develops. This is where trend followers enter and ride the move that Smart Money initiated.

Key Characteristics

  • Demand is now stronger than supply
  • Price breaks above the accumulation range
  • Higher highs and higher lows form
  • Pullbacks are shallow and quickly bought
  • Public interest begins to grow

Volume Behavior in Markup

  • Volume expands significantly on bullish moves
  • Pullbacks show noticeably lower volume
  • Breakout should be confirmed by strong volume
  • Healthy trend shows volume confirming direction
  • Climactic volume at end may signal distribution beginning

Trader Insight

  • This is where trend followers enter positions
  • Breakouts must be supported by volume—weak volume breakouts often fail
  • Buy pullbacks to support within the trend channel
  • The trend is your friend—don't fight it
  • Watch for volume divergence as potential warning

Warning

Not every breakout is genuine. Always confirm with volume. A breakout on low volume is suspicious.

Important Educational Notes

  • Phases can overlap—there's no clean line between them
  • Not every phase is immediately obvious—confirmation takes time
  • Confirmation comes from both volume AND structure
  • Different timeframes may show different phases simultaneously
  • Practice identifying phases in historical charts before trading live