Days Since ±1% Move on Close

Interpretation & Use‑Case
The “Days Since ±1% Move” indicator simply tells you how many trading days have passed since the last daily close that moved at least 1% in either direction. Here’s how to put it to work:

Complacency Gauge
A long stretch without a ≥1% move often signals that realized volatility has collapsed and market participants may be under‑positioned for a sudden swing.

Positioning Insight
When institutional hedges and systematic strategies see low recent volatility, they tend to scale back protection (fewer options hedges, tighter risk limits), which can amplify the impact of any eventual volatility pickup.

Mean‑Reversion Signal
After an extended streak (e.g. 20–30 days), a fresh ≥1% move is more likely—and often more violent—because pent‑up positioning flows rush to adjust.

Trend Confirmation
Conversely, a reset in the count (i.e., a new ≥1% move) that coincides with strong volume and follow‑through suggests genuine directional conviction rather than just a volatility “blip.”