VSA software works on almost similar lines. The principles are also applicable to EOD data. I have applied these principles on trading NIFTY intraday with success. (Though I eye-ball the charts). Number of times the Buying at new lows or selling at new highs results into only a momentary dips. At the other hands, sometimes it will go to reverse the direction of the day itself. Besides, very often there will be a retest which may momentarily cut the low. Hence, one needs to leave some margin for Stop-loss. If the stop-loss is hit, reversal of trade is highly profitable. But this approach ruins the ability to run the position for huge profits. As we never know whether the market will reverse or will take only a momentary dip, a large chunk has to be sold for very small profit.
For example, Today went long NIFTY Future @ 4420.2 and sold 75% @ 4429. Sold rest 25% @ 4419 when market retested this level and market bounced back. Could not run the trade. Had to take another entry after 5-min downtrendline break.