This refers to a rule employed in trading which states that a stock or any other financial security whose price reaches a new high or low on a Friday will likely continue to move in the same direction on Monday. A new high set by a stock on a Friday, for instance, suggests that confident traders are willing to purchase and hold the stock over the weekend. This is seen as a sign of confidence among traders that the stock will continue to move upwards on Monday. The rule is supposed to hold even greater validity when a stock reaches a decisive new high or low leading into a long weekend.
