spring

Spring: A brief move below trading range support that fails to attract follow-through selling and returns inside the range; a test of remaining supply in accumulation.

Springs on light volume that quickly recover are read as more constructive. A break that keeps falling is not a spring. A large, high-volume version is sometimes called a terminal shakeout.

related

Test · Accumulation · Upthrust (UT)

Part of the glossary. See also the Wyckoff method.