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Speedindex

How to read Speed Index and Identify Potential Reversals!In this chart we removed all Plutus signals and we are reading just Speed Index and weighted Averaged Speed Index. The purpose is to identify a potential reversal at a significant location such as Fib. There are two numbers visible on every price wave swing, the first one is the wave's Speed Index and the second one is the weighted average Speed Index of the 30 waves back. What do we need to identify for a potential reversal? The answer is Abnormal Speed Index compared to the weighted average Speed Index, which means that something is cooking. Reading the chart: - Look at highest volume up wave hitting the Fib area, Speed Index at 6.2 while the average at 5.0 , higher than the average but not too abnormal. - The next down wave is where it gives you an Abnormal Speed Index of 10.4 with an average of 5.2. This is what we call their first Push Down, now definitely something is cooking. - The next up wave has a Speed Index 10.4 (Abnormal) with an average of 5.2 and that's we call a Hard to Move Up Wave (HTMU).(by coincidence these two waves have the Speed Index and average Speed Index) - Finally to make sure that all these were sellers we need price to break these waves. To Summarize this is how we approach this Short trade (annotations are in sync with chart). 1. Fib Location (potential sellers might enter) 2. The highest volume up wave to get to Fib 3. Placed AVWAP at the beginning of this up wave, because we will go short if price goes below AVWAP with the appropriate Speed Index justification. 4. First Push Down wave with SI 10.4 with AvgSI at 5.2 5. HTMU (Hard to Move Up) wave with SI 10.4 with AvgSI at 5.2 6. Our entry Short breaking the structure of the previous waves and cross AVWAP downwards. I hope this helps all you Weis Wave Speed Index owners. Enjoy!!!
Education
by TradeTheVolumeWaves
1
PEPE - This is why price explode - Speed Index ReadingThere is always a reason why price explodes either true or fake. The criteria to look at are: - Location - very important - where is the price locate - higher probability trades accomplished when the price leaves a significant location such us Fib, Sup/Res, AVWAP - The volume waves - nothing moves without volume - sometimes is not so visible by the volume waves alone because they distribute or accumulate little by little, that's why we have Speed Index - Reading Speed Index - The proper entry signal In the attached chart I will demonstrate how I read it using the above criteria (annotations are in sync with the chart): 1. Price entering Fib Area 50-61.8 - possibility of buyers to come in 2. Price touching AVWAP (three blue lines) coming from the bottom of a previous swing acting as resistance - another possibility of buyers to come in. 3. Speed Index 6.4, that's an abnormal speed index , that what I call first push up or PU, price never drops below the beginning of this wave 4. Speed Index 11.1, that's another abnormal speed index and that's what I call a hard to move down (HTMD) . What's happening here is that all the sell orders are absorbed by buy orders and price breaks on the up wave the origin of the HTMD wave. 5. Finally the entry Long with a PRL (Plutus Reversal Long) signal an up,up,up, we go!!! I hope my years of work helps you out on reading charts! Enjoy!
Education
by TradeTheVolumeWaves
LTC Long - Learn to read Weis Wave with SI- Target hit overnightLearning to read the chart using Weis Wave with Speed Index will help you understand how the market works. Speed Index is very valuable to understand if there is absorption happening in the market. Remember that absorption takes time, it takes hours or sometimes days, so you have to be patient. In this chart I will explain how to read this 1HR LTC chart using Speed Index and why we had this explosion in price. I have entered long (my target was hit overnight). Annotations on chart are in sync with my below notes. Reading: 1. We had a high volume down move (buyers could be in there but I am not sure yet) 2. We have touched 50-61.8 Fib area - If buyers would like to enter this is a great area. 3. Speed Index 29 that's an Abnormal Speed Index. Why is it abnormal? Because at that time the average Speed Index of 30 waves back was 15. I call this as the first Push or the first absorption. Buyers are entering. 4. Speed Index 78.7 another abnormal SI -> more buying 5. Speed Index 37 on a down wave that's what I call a HTMD (Hard to move down) more buying and finally a PL (Plutus Long signal) breaking by a bit the previous resistance level. This is where I have Entered Long. 6. Another HTMD , hard to move down wave with Speed Index 32.2, more buying and another Plutus long signal PRL. Therefore the explosion is completely justified because it has a history of several hours of absorption. If you were to read just volume waves you would not be able to see this coming Speed Index alerts that something is cooking and when the time is right you enter (PL signal) I hope my above explanations helped you. Enjoy!
Education
by TradeTheVolumeWaves
Litecoin (LTC) Lesson 15 said - This is How to Read the ChatLesson 15 Methodology Chart Reading: 1. Highest up volume wave (sellers could be there) 2. Placed AVWAP lines at the beginning of the wave 3. Wait for price to cross downward AVWAP line 4. Pull back with an Abnormal Speed Index of 24.1S , that's a hard to move up, meaning sellers are absorbing on the up move 5. Enter Short on a Plutus signal which in this case is a double signal WS (Wyckoff Spring) and PRS (Plutus Reversal Short) Enjoy!!!
Short
by TradeTheVolumeWaves
LiteCoin (LTC) - Chart reading with Weis Wave with Speed Index Lesson 15 Methodology: 1. Largest up volume wave at the bottom after while (probable buyers but let's confirm using AVWAP and Weis Wave with Speed Index and it's Plutus Signals. 2. Placed AVWAP at the beginning of the previous down wave and wait for price to pullback to it. 3. Price Respects AVWAP. 4. Abnormal Speed Index 40.8 is a sign that price has a hard time to move down. 5. Enter Long on PL signal. ... and up we go!!!! Target Fib area which was reached! No entries now - Fib could risky!
Education
by TradeTheVolumeWaves
Cardano (ADA) Long using Lesson 15 MethodologyAlready first target was hit and moved stop loss to BE. Lesson 15 Methodology: 1. Largest Down wave on support (could have buyers in there) 2. Place AVWAP at the beginning of the down wave 3. Wait for price to cross upwards the AVWAP and pull back to it. 4. Wait for a Plutus long signal where in this case it was a PRL and up we go! Now this huge pin with the enormous volume worries me for sellers but since we got 1st target and stop is at BE I will let it run.
Long
by TradeTheVolumeWaves
DODGE - Short - This is how to read the short using Lesson 15Lesson 15 Methodology: 1. Fib 61.8 (sellers might come in on this level) 2. Highest up volume wave after a while (probable sellers inside) 3. Anchor AWVAP at the beginning of the up volume wave. Wait for price to cross downward and then pull back. 4. Highest down volume wave after a long time (sellers) 5. Price respects AVWAP acting as resistance 6. Enter Short on one more confirmation of weakness - Plutus Short signal PS ...and down we go!!! Enjoy!
by TradeTheVolumeWaves
AUDUSD - Wyckoff Up-Thrust on Fib 78.6 - Speed Index readingThis is how you can use Speed Index and Plutus signal to confirm a Wyckoff Up-Thrust The methodology: 1. Location: if 61.8 Fib does not provide resistance 78.6 is stronger 2. It all started with a Fast Up wave (FU) with Speed Index 0.5F (fake move) 3. The down wave followed with an Abnormal Speed Index of 2.0S (first Push Down) which means that we could have sellers coming in. 4. On next up wave look at bottom indicator PVR where as price increases volume increases = more sellers coming at the top (SI:1.8) 5. Finally Plutus shows the entry with a WU signal (Wyckoff Up-Thrust) Enjoy
Short
by TradeTheVolumeWaves
Plutus getting the swings from Resistance to FibSimple: Plutus signals got the swing from Resistance to the Fibonacci pullback. At Resistance Level : 5 Plutus signals of all shorts : Wyckoff Up-Thrust, PFBS (Plutus Fake Break Short), PS (Plutus Short) and PRS (Plutus Reversal Short) Start going down until ............... Fibonacci level, oohaou, how original !!!! This is were buyers come in again. How to identify and when to enter, ! Identification , Easy - high PVR every time we approach the bottom Entry - Easy - PRL signal confirms PVR and show the entry. Hope this helps your chart reading!
by tdtrdview