Balanced Price Range

Balanced Price Range is the clean reference build of the balanced price range: it detects a three-candle fair value gap displacing back through a recent opposing gap and draws just the span where the two overlap — the slice delivered in both directions — as a zone with its midline. Bullish zones (a bearish gap overrun by a bullish one) are watched as support, bearish zones as resistance, and each zone extends until price breaks its far side.

How to Trade the Balanced Price Range?

• First retest: the initial return into a zone since formation is the watched event — continuation toward the newer gap's side is the base case, and a dedicated alert fires per side.
• Entries inside the zone: the midline and the near edge are the usual staging points, with invalidation beyond the far side.
• Violated zones: a break through the far side recolors and freezes the zone — the earlier rejection reads as absorbed, and the level's role is done.
• Bias check: the newer gap always carries the direction; a bearish zone above price and a bullish zone below frame the range price is negotiating.

Balanced Price Range Settings

• Pairing Window (Bars) (default 10): maximum bars between the two opposing gaps; tighter windows demand the two displacements come in quick succession.
• Violation Trigger (default Close): Close requires a candle close beyond the far edge — the break-and-hold read — while Wick treats any trade beyond it as a violation.
• Show Last (default 20): zones kept on the chart, active and violated combined.
• Style: bullish/bearish colors, Zone Midline (default on, Dotted), and Show Violated Zones (default on) with its own color.

Frequently Asked Questions

How does a balanced price range differ from a mitigation block?

Both mark zones left behind by a violent change of direction, but a Mitigation Block is built from a failed swing's candle range, while this zone is strictly the intersection of two opposing gaps — an area proven inefficient both ways. The overlap is usually thinner and more precise than either parent gap.

Should violations require a close or a wick?

Close, the default, tolerates stop-runs through the zone and only retires it on acceptance beyond the far edge. Wick is stricter and suits instruments where a single trade through the level genuinely spends it; expect fewer surviving zones.

Why does a zone sometimes not appear after two gaps?

The gaps must actually overlap and print within the Pairing Window of each other — ten bars by default. Opposing gaps that never intersect, or that arrive too far apart, leave no balanced range, and only the most recent overlapping gap is paired.