LOW Price

The Low is the lowest price transacted for the day between buyers and sellers; it is the bottom of the OHLC bar chart. The Low in relation to prior lows can give traders valuable intelligence. For instance, if the low of the prior day's low was $5 and today's low was $4, then sellers were able to make a new low, which is bearish. If the previous day's low was $5 and today's low was $5, then it appears as if an area of support has been created where buyers feel confident buying. This area of support gains more importance if many previous lows have reached the $5 price level and bounced off of it upward. Lastly, if the prior day's low was $5, but today's low was $6, then prices made a higher low, which is potentially bullish because sellers were unable to push prices to the same level as yesterday and/or buyers became more eager to buy at higher prices; nevertheless, both reasons are positive for buyers and negative for sellers. The Low's relation to the Close is discussed in the Close section. The Low in relation to the High is discussed in the Range section. Moreover, the Low and its relation to uptrends and downtrends and trend reversals is discussed later.