Daily Bias

Daily Bias

Daily Bias doesn’t have to be Difficult Understanding daily bias is easier than you think

Focus on this Key Concept

• If price closes above PDH target PDH (continuation profile)
• If price closes below PDL target PDL (continuation profile)

• If price wicks above PDH but closes below target PDL (reversal profile)
• If price wicks below PDL but closes above target PDH (reversal profile)

Continuation Example

On Tuesday, Price closed above Monday’s daily high.

On Wednesday we can anticipate Price to Target Tuesday’s high.

Reversal Example

On Tuesday, Price closed below Monday’s daily high.

On Wednesday we can anticipate Price to Target Mondays low.

The power of understanding this When price closes above the previous day’s high (PDH) or below the previous day’s low (PDL), it confirms strong market momentum in that direction, suggesting the trend will

Conversely, if price wicks above PDH but closes below, or wicks below PDL but closes above, it indicates a rejection of those levels-a sign that the market may reverse direction, because of the inability to sustain beyond key levels.