|
Quote: |
|
 |
|
|
I thought, that we need a selling climax to the left to be a valid spring. habi |
|
|
|
|
Not necessarilly. A SC is very nice background, but not a defining characteristic of Springs. They come in many flavors. In this example, note the rally before the Spring - potential strength. The Spring itself had stopping volume on it, and was climactic action - more strength. You also had near support and, as you pointed out, the first bar of the AM session as some support. I would view the near support as more important, though. There were two swing lows just prior to the open that also could have been tested by the spring. These aren't shown on your chart. Then, a test confirming that supply seen at L has dried up.
Eiger