Inside/Outside Bar Structure
Install and import#
npm install fintech-algorithmsimport { insideOutsideBarStructure } from "fintech-algorithms/geometric-chart-patterns/market-structure-breakouts-and-regimes/inside-outside-bar-structure";Signature#
insideOutsideBarStructure(input)Classifies each bar against its immediate predecessor as inside (high not above and low not below), outside (high not below and low not above), or neither. A bar that exactly repeats the previous range is classified inside, because that test is evaluated first.
Parameters#
| Name | Type | Notes |
|---|---|---|
input | TopicInput | bars is the required OHLCV history, strictly ordered by timestamp and on a single adjustment basis. This topic reads no keys from parameters; period (default 20, integer of at least 2) is validated by the family but unused here. |
Returns#
TopicResult
series and latest carry a single string series, structure. The warm-up is one bar, since index 0 has no predecessor to compare against, so ready_at is 1.
Warm-up#
The first 1 bar positions are null. Index 0 is null; every index from 1 onward carries one of inside, outside or neither and is never null.
Errors#
- When a bar's
highis below its ownopen,close, orlow(orlowis above them) — throws Error - When
barsis empty or is not an array — throws Error
Complexity: time O(n),
space O(n).
Worked example#
executed Captured by running this function on the input its own test provides. Real output of real code — but not asserted against a published figure.
Input#
{
"bars": [
{
"timestamp": "2024-01-02",
"basis": "synthetic-unadjusted",
"open": 100,
"high": 101.45,
"low": 98.695,
"close": 100,
"volume": 750000,
"benchmark": 200
},
{
"timestamp": "2024-01-03",
"basis": "synthetic-unadjusted",
"open": 101.49111452,
"high": 103.38381693,
"low": 100.05480022,
"close": 101.78791214,
"volume": 795117,
"benchmark": 200.56326135
},
{
"timestamp": "2024-01-04",
"basis": "synthetic-unadjusted",
"open": 102.45519048,
"high": 104.6701838,
"low": 100.91147007,
"close": 102.9549389,
"volume": 840234,
"benchmark": 201.11020913
}
],
"parameters": {}
}Call#
insideOutsideBarStructure(input)Returns#
object with 9 fields: topic_id, title, state, ready, ready_at, series, latest, parameters, …
{
"topic_id": "D08-F07-A17",
"title": "Inside/Outside Bar Structure",
"state": "calculated",
"ready": true,
"ready_at": 1,
"series": {
"structure": [null, "neither", "neither", "neither", "neither", "neither"]
},
"latest": {
"structure": "neither"
},
"parameters": {},
"diagnostics": {
"causal": true,
"input_count": 96
}
}Diagrams#
Calculation flow#
Inside/Outside Bar Structure calculation flow
flowchart LR
A["ordered OHLC observations, explicit lookbacks and threshol"] --> B["Validate order, basis, and finite values"]
B --> C["Apply the selected Inside/Outside Bar Structure convention"]
C --> D["Emit value, readiness, and diagnostics"]
D --> E["Interpret descriptively; test outcomes separately"]
B -->|invalid or insufficient| X["Withhold output with a reason"]
Inside/Outside Bar Structure readiness and evidence states
stateDiagram-v2
[*] --> Waiting
Waiting --> Ready: enough valid causal observations
Waiting --> Rejected: malformed or unsupported input
Ready --> Calculated: selected formula applied
Calculated --> Interpreted: diagnostic and limitation retained
Interpreted --> Ready: next observation arrives
Rejected --> Waiting: corrected input and deterministic reset
How it works#
This page states the contract — how to call it correctly. The article explains the concept: why it works, and where it breaks.
References#
- CFA Institute technical-analysis overview — see linked primary or authoritative record
- TA-Lib maintained source — see linked primary or authoritative record
- Long-Term Storage Capacity of Reservoirs — see linked primary or authoritative record
- Evidence decision
- Level 1 evidence map