Follow-Through Day
A Follow-Through Day is a key concept in the market-timing system developed by MarketSmith founder, William J. O’Neil. It helps identify a change in general market direction from a Downtrend to Confirmed Uptrend. For Hong Kong, we define a Follow-Through Day as the Hang Seng closing up 1.7% plus, preferably 2% plus, on volume greater than the prior day on the fourth day or later of a rally attempt.
Every new bull market has begun with a Follow-Through Day, though not all Follow-Through Days result in a new bull market so it is important to confirm with other concepts like the behavior of leading stocks.