A market state showing persistent relocation in one direction with relatively low friction, meaningful bodies, and limited structural overlap.
Full Explanation
A directional state exists when the chart is consistently showing the same mechanical story: one direction of aggression is taking territory faster than opposing liquidity and aggression can reclaim it. Candles tend to progress rather than churn, directional bodies are meaningful, and pullbacks do not repeatedly erase the prior legs.
No single candle creates a directional state. The evidence comes from persistence and consistency across a sequence. A large candle followed by heavy overlap and immediate retracement is not the same thing as sustained expansion.
Directional also does not mean guaranteed continuation. It describes the market as it exists now. The state can weaken as friction increases, counter-direction bodies become more substantial, or structural overlap deepens. The value of naming the state is that it gives you a disciplined description of current behavior without turning that description into a prediction.
In the Book1 chapter
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Chapter 13 · Reading the Current Market
The Three States
This chapter is part of the complete book. The full explanation is available in the complete ebook and paperback editions.