The mirror image opposite to the Wyckoff principle of the Spring, is the Upthrust
Last week on the Weekend Charting thread, I posted about a Wyckoff principle called Springs - (click here)
A spring, in the right place, is where a long entry can be considered.
This week I will show the mirror image opposite principle, called Upthrusts.
An upthrust, in the right place, is where a short entry can be considered.
(I do need to point out this is the Wyckoff Upthrust principle, and not the VSA bar type, which confusingly, also called an upthrust)
A Wyckoff style upthrust occurs when price comes up to a level where resistance has previously been found, and attempts to penetrate up through the level in an attempt to regain the lost ground, but price fails to do so, and the move is rejected.
Upthrusts work best and are most consistent, with weakness (serious selling) in the recent background of the chart, or when price is already in a downtrend, or after price has broken down below previous support (particularly after a long uptrend that rolled over into a sideways trading range or potential distribution zone).
Below is an upthrust of a previous high.
Below is an Upthrust of a Breakdown (this one shows a two bar upthrust.....it can be one bar, or multiple bars)
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It has been said many times that with patience and understanding, a living can be made out of trading springs and upthrusts (on futures markets).
