Ten-Candle Opening Range Breakout with Alternating Trades and Timed Exit
Summary
This strategy builds a daily opening range from a configurable number of initial candles, then trades crossovers above its high or below its low. A daily reset clears the range and trade-direction memory. After a trade closes, the direction rule permits the next trade only on the opposite side, creating an alternating sequence; entries are also limited by a configurable cutoff time.
Exits use percentage-based profit targets and stop losses, with a forced close at the configured end-of-day time. The document gives the rule set and editable parameters, but supplies no performance report or empirical evidence for the approach. It also describes the strategy for Nifty while leaving the candle interval and session configuration to the user, so the opening range and timing depend on how the chart is set up.
Key ideas
- The daily range is formed from a configurable count of opening candles.
- A close crossing above or below the completed range triggers a directional entry.
- Trade direction alternates after each entry, and a cutoff restricts new trades later in the day.
- Percentage-based targets and stops manage open positions, with a scheduled end-of-day close.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.