Technical
What is Outside Day?
A session that engulfs the prior day's entire range — a higher high AND a lower low — a violent expansion of disagreement within a single session.
Formula
Outside Day: today's High > Prior High AND today's Low < Prior Low
How to Interpret
Where the day CLOSES within that expanded range determines who won: an outside day closing near its high after a decline is a classic reversal print; closing near the low after a rally is its bearish mirror. Range expansion + directional close = information.
Typical Ranges
An outside day closing mid-range resolves nothing. Frequent around scheduled news, where the expansion is mechanical rather than structural.
Find Stocks Using This Signal
Screen US and Indian stocks by Outside Day in the Technical Screener.