Definition
A pullback is a brief recovery move that follows a downside breakout. After price breaks below a support level, it often does not fall straight down — instead it climbs back toward the broken level, lingers near it, and then resumes the decline. That return-and-resume sequence is the pullback.
It is the mirror image of a throwback, which is the same behavior following an upside breakout. In Bulkowski's terminology the distinction is precise: pullbacks belong to downward breakouts, throwbacks to upward ones.
Why it matters
How it works
After a downside breakout, sellers may not be the only force at work: short-term buyers, bargain hunters, and traders covering positions can briefly push price back up. That rebound typically stalls at the former support level, which now acts as resistance — the role reversal that defines the behavior. When the rebound fails, the original downtrend continues.
For a trader, a pullback creates a second entry opportunity near the broken level, but it also signals that the breakout met resistance — a clean break that drops away immediately is often the stronger move.