Range indicators will tell you how large the up- and down-swings are for the traded instrument. When prices fluctuate wildly up and down there is high volatility and an range increase. When we prices do not fluctuate much, there is low volatility and a range decrease. Knowing the current market environment prior to opening a position is important, in order to determine the correct position size and stop level.
Category Archives: Range Indicators
Donchian Channel Strategy – The Turtle System
In this spotlight we’re looking at a Donchian Channel strategy, originally developed by the Turtle Traders. This is a trend-following approach…
Improve Probability for Opening Range Breakouts
Opening range breakout strategy: In this post we discuss Toby Crabel’s narrow range analyis of daily bars to improve probability for these setups
The Squeeze Indicator: Quiet Before the Storm
A frequently discussed setup is “The Squeeze” which occurs in situations of low volatility. The Squeeze indicator is used to identify situations when…
Trading the Average Daily Range
This indicator displays support / resistance levels based on the volatility of the prior N days, i.e. average daily noise and the average daily range
A Very Relative Range
Our NinjaTrader Relative Ranges is a powerful indicator, allowing you to address volatility changes between the overnight, European and US regular sessions.
The Kaufman Efficiency Ratio and Balanced Momentum
In this post we’re discussing the Kaufman Efficiency Ratio and how it relates to determining market momentum, specifically the Balanced Momentum calculation
The Opening Range Breakout
Indicator Spotlight on how to determine Opening Range Breakout levels. The post also share insights on how to determine directional bias and…