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outside reversal

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Financial Dictionary

Outside Reversal

A charting trend in which a stock price's high and low for the day exceed those of the preceding day.

Investopedia Commentary

Depending on where the outside reversal occurs, it may signal either a bearish or bullish price movement. If the reversal occurs at the stock's resistance level, it is viewed as bearish. In contrast, if it occurs at the stock's support level, it is viewed as bullish.

Related Links

Introduction To Technical Analysis
Market Reversals And How To Spot Them

See also: Bear, Bull, Resistance, Reversal, Support, Technical Analysis, Trend

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