Find stocks in Narrow Range contraction — the tightest candles in 4 or 7 days. NR days often precede explosive breakout moves.
Find stocks in Narrow Range contraction — the tightest candles in 4 or 7 days. Narrow range days often precede explosive breakout moves.
| # | Symbol | LTP | Chg% | Pattern | Today High | Today Low | Range | Range% | 4-Bar Avg | 7-Bar Avg | Contraction | ▲ Breakout | ▼ Breakdown | RSI | Bias |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | SIEMENSTOP | 3712.40 | +0.61% | — | 3711.60 | 3622.60 | 89.00 | 2.41% | 80.08 | 115.33 |
22.8%
|
3711.60 | 3622.60 | 76.8 | ▲ Bull |
| 2 | LTTSTOP | 3501.00 | +2.43% | — | 3448.00 | 3337.50 | 110.50 | 3.23% | 89.00 | 125.88 |
12.2%
|
3448.00 | 3337.50 | 66.3 | — Neut |
| 3 | ABBTOP | 7327.50 | -0.65% | — | 7583.00 | 7333.00 | 250.00 | 3.39% | 162.50 | 267.50 |
6.5%
|
7583.00 | 7333.00 | 61.0 | ▲ Bull |
| 4 | BHELTOP | 415.95 | -0.32% | — | 418.00 | 402.15 | 15.85 | 3.80% | 9.90 | 16.62 |
4.6%
|
418.00 | 402.15 | 67.9 | ▲ Bull |
| 5 | HAVELLSTOP | 1238.80 | +0.97% | — | 1239.50 | 1195.80 | 43.70 | 3.56% | 28.65 | 31.75 |
-37.6%
|
1239.50 | 1195.80 | 53.9 | — Neut |
NR4 and NR7 are Narrow Range candlestick patterns that signal a period of low volatility — a compression that often precedes a large directional move.
Look for NR7 stocks that also have a trending bias (Bullish or Bearish). If bias is Bullish and RSI is between 40–60, a breakout above the high is a high-probability setup. Combine with volume confirmation — a breakout candle with above-average volume is ideal.
Narrow Range Strategy is a breakout-based trading strategy based on the principle that volatility contraction usually precedes volatility expansion. When a stock's daily range narrows to its smallest in 4 or 7 days, it signals a potential explosive move in either direction.
NR4 (Narrow Range of 4 Days) identifies stocks where today's high-to-low range is smaller than the previous three days' ranges. This compression signals a potential breakout. Enter long if price breaks above today's high, enter short if price breaks below today's low.
NR7 (Narrow Range of 7 Days) is a stronger version of NR4 — today's range must be the smallest of the last seven days. NR7 breakouts carry higher probability because the volatility compression is more pronounced. A bullish breakout occurs when price moves above the NR7 candle's high; a bearish breakout when price falls below the NR7 candle's low.