Definition
A Wyckoff Spring moves below an established trading-range low and then rapidly returns inside the range. It tests remaining supply and traps sellers near the end of accumulation.
Market psychology
The false breakdown attracts shorts and triggers stops. Stronger interests absorb that selling and reclaim support.
Recognition rules
- A prior range and support low are visible
- Price dips beneath support
- The close returns inside the range
- A test or sign of strength follows
Common mistakes
- Labeling any new low a spring
- Ignoring failure to reclaim the range
Teaching example
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Read a text alternative
The market rejects prices below support. Re-entry into the range and bullish follow-through distinguish this spring from a genuine breakdown.
- Market phase
- Accumulation
- Pattern
- Spring
- Timeframe
- D1
A Spring must occur relative to what?
The false break has meaning because it penetrates a known range low.