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What is Balance?

A market state where price rotates within a range (a bracket) and both buyers and sellers find the prices acceptable. Compare imbalance.

In context

Balance means buyers and sellers broadly agree on a range of prices. Price rotates (swings back and forth) between an upper and lower boundary. Day after day, the value areas overlap, and a multi-day profile takes on a bell shape. The price zone where this happens is called a bracket.

From Chapter 7: Auction Market Theory

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Related terms

Imbalance (footprint)Bracket

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Education only. Not financial advice. Trading involves substantial risk of loss.