Wyckoff Accumulation
Wyckoff's model of how large positions are built inside a range before a markup — phases A to E, with the spring as the classic final shakeout.
Also called: accumulation phase · Wyckoff phases · spring · selling climax · SOS
What it means
Richard Wyckoff described the end of a downtrend as a process rather than a point. Phase A stops the decline with a selling climax and automatic rally. Phase B builds the position inside a range, which is the longest and dullest part. Phase C is the test — often a spring, a brief break below the range that fails. Phase D shows strength with a sign of strength and higher lows, and Phase E is the markup out of the range.
The value of the framework is that it tells you which part of the structure you are in and therefore what evidence to expect next. Distribution is the mirror image at the top of a trend, with an upthrust after distribution in place of the spring.
The spring is the most misapplied element. Its anchor is the structural low of the range, not the low of the climax candle.
How OptionLab Pro’s engine uses it
In the live engine
Phase strings resolve in a fixed priority — markup_e, has_sos, has_spring, markdown_e, has_sow, Distribution_C/B/A, Accumulation_B/A — and the order is load-bearing because both backend and frontend gate on the exact string. Phase D requires a spring plus a BOS above the swing high; Phase E only when last_close exceeds swing_high + 2x ATR. A Phase C aligned with direction applies a 2.0x probability multiplier, gated on wyckoff_conviction ≥ 0.65 rather than on the overall SMC probability.
go/internal/engine/smc/structure.go, wyckoff.go · production.go (applyProbBoosts)The common mistake
Where traders get this wrong
Anchoring the spring to the selling-climax candle's low instead of the range's structural swing low. The spring is a failed break of the RANGE, and anchoring it to one candle produces springs that never happened. Separately: Phase B is supposed to be long and boring, and traders routinely abandon a correct read because nothing is happening yet.
Go deeper
There is a full lesson on this in the Academy, with an interactive widget and a Hindi translation.
Related terms
Educational and analytical content only. OptionLab Pro is not a SEBI-registered investment adviser or research analyst and does not give buy or sell recommendations. Derivatives trading carries a high risk of loss.