A Set has three main statuses: Normal, Proposal, and Rebalancing. For Trend Trading Sets, there is another status between Normal and Proposal called Initial Crossover. 

Normal is the dormant phase between rebalances that the Set will be for the majority of the time. 

Initial Crossover is the phase where price first crosses the moving average (or another indicator) and there is a period of 6 hour lag time where price has to remain crossed for a Set to transition into the Proposal and Rebalancing phases. This is to reduce false positives and noise from signals being generated. If after 12 hours has elapsed since the initial signal, the price will need to crossover again and restart the 6 hours window. Alerts for Initial Crossovers are posted on the TokenSets Twitter.

Proposal is the phase following Normal when rebalancing conditions are satisfied. This period of time confirms the next allocations and gives you a heads up that Rebalancing is about to start.

Rebalancing is the phase following Proposal when the actual execution occurs. During Rebalancing, the underlying components in the old allocation and new allocation are swapped via the open dutch auction process in the smart contract.

For example, if the price of ETH goes up 20% in the ETH Min Volatility Set causing the mix to be 55% ETH and 45% DAI, 5% of the ETH will be auctioned off for DAI during this phase to bring back to the target allocation of 50% ETH and 50% DAI. 

The current rebalance auction varies by Set. For ETHMINVOL the auction time will typically take 3 - 5 hours to complete based on where the fair value of the components sits. This auction time will differ depending on strategy.

Buying and selling on TokenSets is temporarily disabled during Rebalancing to facilitate the execution process described above. Learn about how rebalancing works in detail in the Set Protocol Whitepaper.