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Wyckoff Stock Trading Strategies
 
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An Upthrust is a sharp move above a previous supply level, where the price action is immediately turned back below that level. When examining an upthrust, it is important to evaluate the relationship between the volume and the price progress (The Law of Effort VS Result). As the price moves into the supply area (above the trading range) in an attempt to break out of the trading range, more and more supply is brought out. The Effort is expressed by volume while the Result is expressed by price action. If it requires more and more Effort (increasing volume), to obtain smaller and smaller incremental price advances, it shows that supply is overcoming demand. You can also look at this from the stand point that supply is increasing relative to the demand. If the volume doubles, the price progress should also double. In this case the indication of weakness was made not from what the stock did, but rather what it was unable to do.
Upthrust
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