Opening Range Strategy

The Negroni Opening Range Strategy indicator is a comprehensive toolkit designed to help traders identify and automate breakouts from specific time-based ranges. It plots pre-market and opening ranges, incorporates moving average confluences, and tracks previous session highs and lows to provide a complete context for intraday price action.

Usage

This strategy is used to capture momentum following the breakout of a defined volatility range. Traders can specify both a "Pre-market" and an "Opening Range," choosing which one serves as the primary trigger for trades.

• Breakout Identification: The script marks whether an opening range is an "Inside" range or a "Breakout" range relative to the pre-market period.
• Trade Execution: Strategy entry occurs when the price closes above the high or below the low of the selected range during the defined trading session.
• Session Management: To ensure backtesting reflects realistic trading hours, the tool allows users to set specific start and end times for opening new positions and a mandatory "close all" time to avoid overnight risk.

Details

The strategy calculates range extremes based on the user's local timezone. It identifies the highest high and lowest low within the specified time blocks. A visual label is generated at the end of the opening range to confirm the range relationship (Inside vs. Breakout). For risk management, the strategy includes a trade counter to limit the maximum number of executions per day, preventing overtrading during volatile sessions. It is recommended to use standard candle charts rather than Renko or Heikin-Ashi to ensure backtesting accuracy regarding price wicks and fills.

Settings

Trading Session

• Max Trades Per Day: Sets the limit on how many positions can be opened in a single day.
• Direction: Determines if the strategy should go Long only, Short only, or both.
• Timezone: Adjusts the script to match your local or exchange time.
• Session Times: Defines the window for opening trades and the specific time to force-close all positions.

Ranges

• Breakout Range Toggle: Selects whether to trade breakouts of the Pre-market range or the Opening Range.
• Range Times: Configurable start and end hours/minutes for both the Pre-market and Opening Range periods.

Take Profit & Stop Loss

• Take Profit Strategy: Choose from six different exit methods: ATR Multiplier, Partial Take Profits, Trailing Stop, Moving Average Cross, Scalp (Points), or Pre-market Multiplier.
• ATR Settings: Configure the timeframe, length, and multipliers for ATR-based exits.
• Moving Average: Define the period and type for the Trend MA used in crossover exits.

FAQ

How do I adjust the range for my specific market? You can modify the Pre-market and Opening Range start/end times in the settings menu to match the specific hours of the instrument you are trading, such as the NYSE or London open.

Can I use this for manual trading cues? Yes, while it is a strategy script, the visual labels for "OR Breakout" and "OR Inside," along with the range plots, serve as clear signals for manual price action traders.

How do I access Negroni Opening Range Strategy? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.