Opening range breakout (ORB) Concept – a classic strategy that takes a trade above or below the opening range of the market.
The open range is simply the high and low of a given period after the market has opened, usually the first 30 mins or 1 hour. The theory goes, when the price breaks this range there is a strong chance that the price will continue in the same direction. So traders will use these breakout points to place entries.
Also included is the Opening Price Breakout (OPB) strategy, this variation enters a trade when current price crosses above/below the opening price of the pre-defined session.
Determine the range by selecting the From and To Times in the parameters.
Select either breakout strategy or opening price breakout from options.
Setup the stops, targets, trailing with the strategy or use an existing ATM strategy
2 versions included. Pro & standard. 1 is a simple version for use with ATM’s and a more advanced highly configurable and backtestable professional version.
The (ORB) opening range breakout standard strategy for NinjaTrader 8 is a simplified ‘Click & Go’ version of the Orb-Pro for ease of use. This strategy harnesses NinjaTrader ATM strategies and requires only a couple of parameters to setup.
The ORB Pro is a highly customisable version of the opening range breakout system which allows more flexibitly than standard ATM strategies using additonal functions such as daily targets, session times, multiple stops and target types and many more. The pro version is full backtestable and allow you to optimise and test your systems quickly and accurately using the Strategy Analyzer or simply on the chart.
Determine the range to calculate highs and lows of that range to trade.
The indicator will automatically calculate the highs, lows and the open price of the pre-defined range, setup in the strategy parameters (the from and to time). Once the time range has elapsed then the range is set and the strategy will create buy & sell stop orders on the highs/lows waiting in anticipation of the breakout.
Determine open price of the session to trade.
The indicator can be used to simply show the open price based on a specific time, usually based on the first price of the U.S open. Based on this price the strategy will go long/short when price cross above/below.
Being the most popular futures market, here is an example trade using the NQ.
Being the most volatile futures market, this strategy waits for an hours range before entering the long and short orders.
A daily profit target is used of $1000 and will trade until reached.
As you can see the first trade was stopped out on initial fake breakout, however the second trade reached first target easily to compensate for the prior loss, the breakout continues and our daily target is reached and exits the trade.
No further trades will take place for the day due to our daily target is reached.
All futures markets are available to be traded there are no restrctions, trade, GC, CL, ES, NQ etc.. and all micros contracts.
An example of an ES trade as ES being the second most popular market. This time we can customise the opening range to take the highs and lows of the first 15mins of the US session.
Here a clear breakout took place and explodes out of the opening range.
This strategy has a simple $500 daily target, once reached the strategy will exit the trade and will not place any more trades for the day, which fits with our trading plan or you can manually manage the trade once entered.
We chose 15mins but the beauty of this strategy is you can pick any opening range you like, you could use the first 1m of the open to place breakout range on that first minute candle, then place stops and targets that correspond to your plan and targets.
Notes
* Product purchase is for life, an optional software maintenance is available for purchase to ensure future upgrades and updates for new features and enhancements. This can be purchased any time after the first year.
Purchase Credit – After purchasing the ORB, you can upgrade and purchase the full AlgoNinja suite of algos, please request a credit voucher of this purchase to credit against upgrading to the full Gold Purchase plan.
27-11-2021 – v7.0 – Update
