Rotational Factor Calculation

The Rotational Factor is a simple, objective means for evaluating day timeframe attempted direction based on the market's half hour auction rotations. At any point in time during the day, the running tally can help keep general awareness for whether buyers or sellers are in control, and if a transition is taking place. It is also helpful to use as one of a handful of variables that categorize the session's Directional Performance to assist in possible direction for the next session. This method is from Dalton's Mind Over Market's book and in part helps answer the question, which way is the market trying to go? This can then be applied to the second question, is the market doing a good job in it's attempted direction? Staying aware of these two questions keeps current sentiment and expectations in check.

Calculation method
Each 30min RTH candle gets a score:

if the high is higher than the previous candle's high: +1

if the high is lower than the previous candle's high: -1

if the low is higher than the previous candle's low: +1

if the low is lower than the previous candle's low: -1

if the high (or low) of a candle is equal to the high (or low) of the previous candle: 0

The running tally intraday text is displayed in blue. Once the session closes the text is displayed in orange and remains listed over the final candle of the day for 30 days. The RTH candles are calculated until the end of the RTH session (3pm EST) even though the session's full tally is displayed over the final candle at 3:30pm EST.