Steve Nison - Springs and Upthrusts

Steve Nison discusses the significance of a "spring" when trading with candlestick charts.  Once a spring has developed, the upside target is the previous swing high.  In his illustration, a shakeout through support occurs with price going through the support but then closing above it to form a hammer.  The hammer candlestick shook all the weak hands out of the stock and set it up for a strong move to the upside.