Wyckoff Patterns

The Wyckoff Method, developed by Richard Wyckoff in the early 1900s, is a time-tested approach to understanding market cycles through the lens of supply and demand. Wyckoff patterns identify the four phases of every market cycle: Accumulation (smart money buying), Markup (uptrend), Distribution (smart money selling), and Markdown (downtrend). Key patterns include the Spring (a false breakdown during accumulation), the Upthrust (a false breakout during distribution), and various tests of supply and demand. Wyckoff analysis remains one of the most sophisticated frameworks for understanding institutional behavior.