The high and low of the first minutes of the cash session define a range; a decisive move outside it often sets the early direction of the day.
How to identify it
- Mark the high/low of the first 5, 15 or 30 minutes after the open
- Wait for a candle to close outside the range
- Stronger with volume expansion and alignment with overnight bias
Entry
Enter on the close outside the opening range or the first retest of its edge.
Stop loss
Back inside the range, at its midpoint or opposite side.
Target
One to two times the opening range height.
Invalidation
Price returns inside and closes through the range midpoint.
Does it work for you?
Textbook reliability means little until you know your own numbers. Tag your opening range breakout trades in TradeZento and it shows your win rate, average win and loss, and P&L per trade for this pattern, so you know whether to keep it in your playbook.