DH / DL (Daily High / Low)

### A level that is still being made DH and DL are the current day's high and low as they stand right now, mid-formation. That "right now" is the whole distinction, and it is why the shorthand exists alongside HOD/LOD and PDH/PDL. PDH and PDL are settled. Yesterday is finished, the levels are fixed, and you can mark them before you look at a single candle today. A DH is not a level in that sense. It is wherever the highest print happens to sit at this second, and it moves every time price pushes further. A DH becomes a real level the moment it *stops* moving. Price stretches, turns away, and leaves that high behind. Only now is there something on the chart to react to, and only now can everyone else see it too. ### Why the day's extremes pull price Module 9, Lesson 12 gives the reason external structure outranks internal structure: order-flow density. The more traders watch a level, the more resting orders cluster around it, and the more reliably price reacts there. The day's high is about as widely watched as an intraday level gets. Stops sit above it, belonging to traders who are short. Buy orders sit above it too, from traders waiting to catch a breakout. That is a pool of liquidity in plain sight, which is exactly the kind of level larger participants have a reason to push into. ### Sweep or break: the close decides Sweep and reject, or break and run. In this system that question has a mechanical answer rather than a feel. - A **true break** is a close with at least 50 percent of the candle body past the wick of the level (Module 9, Lesson 4). Anything that pokes through and closes back inside is a wick test, not a break. - A **sweep** is that wick test with intent: price trades through the obvious level, triggers the orders resting beyond it, then closes back inside. That reclaim is the engine of the NC+S model (Module 9, Lesson 10), and because the sweep is its own confirmation, NC+S does not require divergence. No sweep, and divergence becomes mandatory. The two look identical while the candle is still open. The difference is settled at the close. That is why acting mid-candle at the DH is a mistake: you are committing to information the close has not given you yet. It is also why the system tells you to cycle the neighbouring timeframes before you accept a break at all. ### It is context, not a model Marking the DH does not hand you a trade. Entries come from the system's models on the timeframes it actually trades, with 1H as the ceiling. The DH only tells you where a meaningful reaction is likely to happen. Depending on which side of it you are, that same level is either the protected structure your stop has to cover by at least 2 pips (Module 9, Lesson 5), or a high price is reaching for, which is how the system frames targets: weak structure, the high or low most likely to give way (Module 9, Lesson 21). And read the tape that made it. A DH printed on a news spike or on a thin bank-holiday session is a much weaker level. Module 8, Lesson 5 is blunt about why: on a thin tape, price can break structure without the move meaning anything, because a handful of small orders can shove it around with no real flow behind them.