Hello steemian ...
This is my new post in the Steemit Crypto Academy community, on this 16th week I will be working on a homework from professor @fendit with the theme "The Wyckoff Method".

SOURCE:https://the5ers.com/the-wyckoff-theory/

The wyckoff method was originally invented and popularized by an expert trader who was very adept at creating market cycles, his name was Richard Wyckoff. This method was developed in the 1930s. This method explains the strategy for traders and investors. His most popular concepts are about the composite human being and the fundamental law.

For that I will immediately explain it according to the homework given by professor @fendit.

1. Share your understanding on "Composite Man" and the fundamental laws. What's your point of view on them?

SOURCE:https://academy.binance.com/id/articles/the-wyckoff-method-explained

• basically the concept of composite human can be called the market mover. This composite human is usually a wealthy investor. Its movements can be predicted easily, the strategy used by this composite human is simple and predictable, namely buying low prices and selling high prices. So that with this composite human, we can easily follow market trends. Examples that we can find about this composite human concept are like the recent news, where Elon Musk made the price of Dogekoin soar in the market.
  From this composite human concept, we can easily identify 4 main cycles that occur in the market, namely:
  The first is the storage cycle, in this cycle a composite human finds an asset that has good potential. Thus, composite humans will accumulate most of these assets before other investors.
  The second cycle is an uptrend, in this cycle when the composite human has a lot and enough assets, causing the sales force to run out. Then he started to make prices continue to rise and attract other investors. So that if investors continue to arrive until the point of demand is higher than supply.
  The third is the distribution cycle, in this cycle asset prices soar very high due to higher demand for supply. So, composite humans sell all their assets and get the maximum profit. Meanwhile, investors who buy at this stage will feel the bad impact.
  The fourth downtrend cycle, in this cycle when all investors initially sell all their assets, which causes the supply to be higher than the demand, causing prices to fall and even drop dramatically.
• The fundamental laws proposed by Wyckoff are diavided into three types:
  First, namely the law of supply and demand, this is the most basic principle one must know in the world of markets. This principle states that if demand is greater than supply, the price of an asset will rise. Conversely, if supply is greater than demand, the price of an asset will fall. Then, if the demand and supply are equal, the price will tend to be stable and there will be no significant increase or decrease.
  The second is the law of cause and effect, this principle is also easy to understand because what is called "cause" here is accumulation and distribution, while what is meant by "effect" is uptrend and downtrend. For example, because the accumulation phase results in an uptrend, due to the distribution phase it results in a downtrend.
  The third is the effort vs. results, for example, the effort represented by trading volume will result in a change in the price of the asset. The trend will continue if volume and price are in sync. Conversely, if volume and price are not aligned, it will cause the trend to stop or decrease.
• My view of the composite human concept and the fundamental laws proposed by Wyckoff are related to each other. In fact this is evident as the incident elon musk to bitcoin and dogecoin. This is natural because composite humans have the ability to buy assets on a large scale which can make the price rise. For us as investors who often follow trends, we must have the expertise to read opportunities to get assets during the accumulation phase so that when an uptrend occurs we can achieve maximum profits. And avoid buying during the distribution phase which will make us lose due to the downtrend.

2. Share a chart of any cryptocurrency of your choice (BTC or ETH won't be taken into account for this work) and analyze it by applying this method. Show clearly the different phases, how the volume changes and give detail of what you're seeing.

source:https://globalcoinreport.com/heres-take-advantage-steem-dollars-sbd-run-right-now/

At this stage I use the SteemDollars (SBD) currency starting from March 13, 2021 to April 2, 2021.

IMAGE FROM UPBIT AND EDITED BY ME

From the analysis results, I found that phase A is located from March 13 to March 19, 2021. In phase A, the downtrend began to occur slowly, in this phase the trading volume has started to increase. until March 13, 2021 at 11.00, there was preliminary support (PS) at the price of 0.00012122 BTC, which means that some investors started arriving, but were not able to stop the downtrend. On March 14, 2021 at 15.00, there was a selling climax (SC) at the price of 0.00011240 BTC which resulted in a large decline, at this stage it would usually cause sellers to panic. Therefore, on March 16, 2021 at 07.00 there was an Automatic Rally (AR) at the price of 0.00012742 BTC, so the price bounced up. this was due to a large drop so buyers started arriving. On March 17 at 23.00 a point was formed which returned low, but not lower than the SC point, this point is called the secondary test (ST) at the price of 0.00011014 BTC. At this point the trading volume becomes low and we can test whether the downtrend is over or not.

On March 19 we entered phase B, at this stage the composite human began to accumulate in the market on a large scale, causing resistance and support points. The support point started phase B on March 21, 2021 at the price of 0.00011127 BTC until then followed by the resistance point on March 22, 2021 at the price of 0.00014976 BTC. A few days later, to be precise, on March 26, 2021, there was another support point at the price of 0.00011371 BTC, after that about 2 days later, namely March 28, 2021. This was followed by a resistance point at the price of 0.00014994 BTC. At this stage, many people have sold at the resistance point and many have bought at the support point.

On March 28, 2021 we enter phase C, at this stage spring occurs on March 29, 2021. Usually spring is lower than SC, but at this stage the spring is higher at the price of 0.00012047 BTC. It is difficult to guess whether or not there is a spring in this C phase. In the spring stage, usually the buyers have given up because the price has decreased, while the composite human can ensure that many people who are left have sold their assets.

In phase D on March 30, 2021, the asset showed an increase in volume with the appearance of the last point support at the price of 0.00013173 BTC. The uptrend began until March 31, 2021, there was a strong signal or also called the Sign of Strength at the price of 0.00016140 BTC.

The uptrend continues until it enters phase E, the price reaches a high point. On April 2, 2021, the asset price reached 0.00028920 BTC. At this point, the composite human begins the distribution that causes the downtrend to start. This is evident, on April 3, asset prices began to continue to decline.

This is everything I know about The Wyckoff Method, I'm writing this based on some of the references I've studied.