Day Trading With Short Term Price Patterns and Opening Range Breakout-
Narrow range patterns come from Tony Crabbel's book, ” Day Trading with Short Term Price Patterns & Opening Range Breakout”. Even though the book, which was published in 1990, is currently out of print, many of its ideas are still effective. In particular, the NR4 (Narrow Range 4) and NR7 (Narrow Range 7) patterns are quite popular with short-term traders. The philosophy behind the pattern is similar to the Bollinger Band Squeeze: a volatility contraction is often followed by a volatility expansion. Narrow range days mark price contractions that often precede price expansions.
Narrow range patterns come from Tony Crabbel's book, ” Day Trading with Short Term Price Patterns & Opening Range Breakout”. Even though the book, which was published in 1990, is currently out of print, many of its ideas are still effective. In particular, the NR4 (Narrow Range 4) and NR7 (Narrow Range 7) patterns are quite popular with short-term traders. The philosophy behind the pattern is similar to the Bollinger Band Squeeze: a volatility contraction is often followed by a volatility expansion. Narrow range days mark price contractions that often precede price expansions.
