Phase C of Wyckoff accumulation features a 'test'. Price returns to the Spring low on decreasing volume, confirming supply exhaustion. This is the lowest-risk long entry in the entire accumulation structure.
Indicators Used
Rules
📈 Long at Phase C Test
- Accumulation trading range identified (Phase A+B completed)
- Spring event occurred: price briefly pierced TR low and reversed
- Price returns to Spring low level ('test')
- Volume on test must be notably LESS than volume on Spring
- Lower test with decreasing volume = supply exhausted
- Enter long on bullish reversal candle during or after the test
- Stop: below Spring low (not test low. Give it room)
- Target: top of trading range (prior resistance), typically 3R+
⚙️ Configuration
- // Wyckoff Phase C Test
- Prerequisite: Spring event in Phase C
- Test requirement: lower volume than Spring
- Confirmation: bullish reversal at test low
- Stop placement: below Spring extreme, not test
Lower Volume
Required
Range Top
Target
💡 Pro Tip
Wyckoff emphasized that Phase C tests without decreasing volume are failures-in-progress. They signal continued selling and often precede another leg down before eventual markup. Volume is the confirming variable; ignore the price action if volume doesn't cooperate.