Neutral day
Volume Profile Analysis glossary · Auction Theory & Market Profile (TPO)
Definition
A session in which both the Initial Balance high and Initial Balance low are broken; a neutral-extreme day closes near one extreme, a neutral-center day closes near the middle.
Neutral day in plain English
First, the Initial Balance is the price range set during the market's first hour — its opening high and low. A Neutral day is one where price later pokes ABOVE that high AND dips BELOW that low, meaning both sides tested their luck and neither committed — the market looks indecisive. If it finally picks a side and closes near the day's top or bottom, that's neutral-extreme (someone won late); if it just closes back in the middle, that's neutral-center (a true stalemate). It's like a tug-of-war where both teams yank hard each way before ending either with a last-second winner or dead even in the mud.
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