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Wyckoff definitions are designed and named in a manner to support the Wyckoff 9 trading rules

through the trading range phases A to E, where as Williams definitions are designed to cover all the
bar by bar action no matter the phase. We like both. Both are designed to help judge the contest
between supply and demand.

Both Wyckoff and Tom Williams adhere to the importance of market phases ([re]accumulation,
[re]distribution, mark up, mark down), but we feel the Wyckoff definitions are tailor made to
determine the change over from (re) accumulation to mark up or (re) distribution to mark down more
so than Tom Willams defintions, the reader may think this is splitting hairs, but we think this is the
case as Tom Williams in his books do not present his definitions in the framework of Wyckoff trading
range phases A to E with the 9 Wyckoff trading rules.

Tom Williams VSA trading setups are designed around the Wyckoff phases known as 'Signs of
Weakness' (SOW) or 'Signs of strength' (SOS). As these phases are an important part of the Wyckoff
trading range D and E phase, (Reminder: Wyckoff D and E phase are the price break out phases) we
feel that the VSA setups are best executed only when the pure mark up (or down) phase has been
clearly established.

A VSA 'Sign of Weakness' (SOW) setup would consist of a pattern of 3 to 20 bars that include any
combination of the following VSA bar types: Buying climax, No Demand, Suppy overcoming demand,
Up Thrusts, End of a Rising Market, Top Reversal, Failed Test.

A VSA 'Sign of Strength' (SOS) setup would consist of a pattern of 3 to 20 bars that include any
combination of the following VSA bar types: Selling Climax, No Supply, Demand overcoming supply,
Test, Two bar reversal, Shakeout, Test of supply after Shakeout, Bag Holding, Test of a Break Out.

In summary our view for better success with VSA trading setups:

1) VSA Sign of Weakness (SOW) setups: Are best executed when a pure mark down phase has
been confirmed. Wyckoff 2.0 requires that price be underneath the Gann Angle 1x2 (preferred) or 1x1
and it is best that price is below broken support for a pure mark down phase to present. See the red
shade area in the first image above.

2) VSA Sign of Strength (SOS) setups: Are best executed when a pure mark up phase has been
confirmed. Wyckoff 2.0 requires that price be above the Gann Angle 1x2 (preferred) or 1x1 and it is
best that price is above broken resistance for a pure mark up phase to present. See the blue shade
area in the first image above.
When either a pure mark up or down phase can not be established then the phase may either be
accumulation or distribution and this market phase was considered by Richard Wyckoff as an
unattractive market phase to profit. We also hold this view and we also feel VSA traders should as
well.

The reader may be very confused with all the lingo and definitions, after you read the material behind
the subject matters the confusion will be removed.
We would also like to bring to the attention of the reader that from our post Wyckoff 2.0 vs Others
that everything works when the chart is nice and pretty, and a chart is always very pretty when either
pure mark up or down is clearly established.

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