Period range relationships

         Use the period range relationship question to look at the price range in any period of time relative to other key market levels.

Example:

         The market builds value above yesterday’s longest TPO price.

Questions from Traders:

         If the day is developing value above yesterday’s longest TPO price, what are the chances that the market will close above those levels? How soon in the day can we identify this tendency? What other key levels can serve as price benchmarks?

Setting Up the Search:

Click on the parts of the box below where appears for explanations of features.

Answers:

         In the search shown above, we asked how many days the market established a range in <y> through <I> periods that was above yesterday’s longest TPO price. This occurred about one out of four days. We then refined the search to see what percentage of those days the market closed above yesterday’s longest TPO price. Nearly 88% of the time, if the market traded above the longest TPO price for the first five and a half hours of trading, it closed above that price. We wanted to know how early in the day this tendency was evident, so we tested for the number of days when the market traded above the prior day’s longest TPO price for the first two hours of trading. We found out that this happened a bit under one day in three. More exciting was that even after the first two hours of trading above the longest TPO price, nearly 82% of the time the market closed that day above the longest TPO price.