Wyckoff Up Thrust
Definition of 'Wyckoff Up Thrust'
- There must be a line of visible resistance on the chart (this is a supply line).
- A Wyckoff Up Thrust occurs when price moves above a resistance line but the move attracts sellers not buyers, an Up Thrust is a failed breakout.
- The initial decline from the Up Thrust finds a short-term bottom and prices lift in an attempt to retest the High of the Up Thrust, but the attempted retest, generally on lower volume, turns out to be a swing failure and price resumes downside.
The opposite of a Wyckoff Up Thrust is a Wyckoff Spring which is a failed breakdown below established support, (lower prices are rejected and reverse to the upside).
Richard D. Wyckoff pioneered using price action as a means of identifying supply and demand in the markets. He began his Wall Street career as a runner in 1888 and eventually became a very successful trader using observations developed over years of experience on "The Street."
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