High-low oscillator
Plots the difference between a period's high and low (or, in market-breadth contexts, the count of stocks making new highs vs. new lows) to gauge the strength of a move.
What the numbers mean
For a single security the setting is the lookback over which highs and lows are compared. In its market-breadth form there is no lookback at all — it counts how many stocks in an index made new highs versus new lows.
- Single security — the setting is the lookback over which highs and lows are compared
- Market breadth version — no lookback; it counts stocks making new highs versus new lows
- Check which version a platform is plotting before drawing conclusions
How it is used
Used to gauge whether a move is broad or narrow: for one security, how decisively each bar's range is being extended, and for an index, whether a rally has participation beneath the headline number.
- For one security → how decisively each bar's range is being extended
- For an index → whether a rally has participation beneath the headline number
- Breadth narrowing while an index rises → a classic late-stage warning
How it relates to everything else
The breadth version answers a question no single-security indicator can: whether an index's move is broad or carried by a handful of names. It is read alongside the index itself rather than alongside other oscillators.
- Breadth version pairs with an index chart, not with price indicators
- Single-security version overlaps heavily with range and ATR readings
- Two different indicators sharing one name
What to watch for
The two versions share a name and nothing else, so it is worth checking which one a platform is plotting before drawing conclusions.