Opening Range Breakout

The tell: Wide opening box, a coil inside it, then the box breaks with volume.

What it looks like

The first candles of the session carve a wide high-low box on big volume; price then coils quietly and breaks one side of it.

Why it works

The opening range is the day's first auction. Breaking it with volume means one side won, and intraday trend traders pile on.

Entry

Break of the opening-range high (or low, for the short side) after the coil.

Stop

Opening-range midpoint.

Target

Opening-range height projected from the breakout.

How it fails

Breaks on weak volume and falls back inside the box — that's a range day; stand aside.

Reading it in a textbook is not the same as spotting it live. Drill the opening range breakout on charts generated fresh every time, or try today’s five.