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A neutral day occurs approximately eight percent of the time and is characterized not by its initial balance, but by a range extension in both directions, indicating a lack of conviction regarding market direction. This lack of conviction results in a tug-of-war between buyers and sellers over market direction, with the close generally occurring in the middle of the range. Neutral days frequently occur in a sideways market and at market tops and bottoms.
See also, Spinning Tops.
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