Trend day

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A trend day will usually begin with a small initial balance, However, early in the day structure range extension occurs. This range extension does not allow a value area to develop in theinitial balance, and the range extension continues throughout the day. These days are seen as having Higher Highs  and Higher Lows  ( OR LH/ LL)  in every 30 minute period .

 

There are often periods of single prints on the profile. Most important, there is very little rotation from time period to time period. In other words, each half-hour segment drive prices further in the direction of the trend.

 

Sometimes one of the time segments will have a bit of rotation in the opposite direction, but price usually will resume the trend. In such cases we keep an eye for a pull back high or a pull back low to develop which is the afternoon adjustment of inventory.The range of a trend day is wide and the profile absent, rotation is thin. Obviously the open will occur at one end of the trend day, and the close will be near the opposite end.