The equation \( y = x^2 - 3 \) represents a parabola. In this equation, the term \( x^2 \) indicates that the parabola opens upwards, since the coefficient of \( x^2 \) is positive (1).
The vertex of the parabola is at the point \( (0, -3) \), which is derived from the standard form of the quadratic equation \( y = ax^2 + bx + c \), where \( a = 1 \), \( b = 0 \), and \( c = -3 \).
So, the direction of the parabola is upwards.