Day-To-Day Follow-Through

  • October 5, 2001
  • Larry Connors

Research by Steve Moore showed that
when a market closed in the top/bottom 10% of its range, it had an 80%-90%
chance of follow-through the next morning but actually closed higher/lower only
50% of the time. This implies that there is a good chance of a midday reversal.

–-Larry
Connors and Linda Raschke, Street
Smarts (1995, M. Gordon Publishing).