Previous Month Low (PML)

The previous month low is the low of the last completed month. It is the downside edge of last month's range. Holding it means the new month has not broken that extreme. Losing it means the market has accepted a lower monthly price.

Mark the completed monthly low, pair it with PMH, and treat the pair as last month's range. Use the same session and adjustment rules you use everywhere else, or the low will not match the chart you trade.

A reclaim of PML after a break is a failed monthly breakdown. Those reversals can be large, and they can also fail a second time. The reclaimed level is the line that now has to hold.

Acceptance below PML is a monthly-scale breakdown. It deserves swing-sized risk, not a scalp stop, because the level was built over weeks.

Ignoring PML because a short-term oscillator is oversold, or worshipping it when the weekly trend has already broken through and accepted lower prices for many sessions.

Monthly levels are few. They will not guide a day that is trading in the middle of last month's range. Use them when price is actually at them.