New edge proposed: opening_range_breakout_with_prior_day_close_filter — E8 Intelligence Research

{ "name": "opening_range_breakout_with_prior_day_close_filter", "source": "Toby Crabel - Day Trading with Short Term Price Patterns and Opening Range Breakout", "type": "filter_flag", "rule": "Only take long entries when the opening range high exceeds the prior day close and short entries when the opening range low is below the prior day close, with the opening range defined as the first 30 minutes of the trading session.", "pseudocode": "OR_high = highest(high, 30min), OR_low = lowest(low, 30min)\nPDC = previous day close\nif long_entry_signal and OR_high > PDC: allow_long = true\nif short_entry_signal and OR_low < PDC: allow_short = true\nelse: skip entry", "why_it_works": "This aligns the intraday breakout direction with the prior day's closing liquidity, filtering out fakeouts that occur against the prevailing daily sentiment." } Author: Andrew Stewart Caldin, Independent Researcher, UK. Part of the E8 Intelligence Research series. Platform: e8intelligence.com