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Daily High

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The daily high is the highest price paid for a stock or a commodity during a trading day. Prior to the advent of pre-market trading and after-hours trading, the daily high for a stock was easy to determine. Today, however, a stock's daily high can be open to question. Does the daily high refer only to trading during traditional exchange trading hours, or should the daily high also take pre-market and after-hours trading into account? Certain stock trading systems use the daily high reached by a stock as part of their method of predicting future stock movements. If a trader is using a system or market timing device which relies on the daily high of a stock, then it becomes important to determine which daily high the market timer is relying on. As with many other aspects of the equities market, the precise definition of what makes a daily high is no longer as cut-and-dried as it once was.



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