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 | LTTSTOP | 3403.80 | -2.51% | — | 3559.60 | 3479.80 | 79.80 | 2.29% | 115.78 | 132.20 |
39.6%
|
3559.60 | 3479.80 | 28.6 | — Neut |
| 2 | BHELTOP | 416.20 | -1.46% | — | 424.70 | 416.50 | 8.20 | 1.94% | 7.75 | 9.72 |
15.6%
|
424.70 | 416.50 | 56.9 | ▲ Bull |
| 3 | HAVELLSTOP | 1211.00 | +0.83% | — | 1219.40 | 1201.60 | 17.80 | 1.47% | 15.47 | 17.93 |
0.7%
|
1219.40 | 1201.60 | 27.4 | ▼ Bear |
| 4 | ABBTOP | 7219.00 | +6.10% | — | 7244.00 | 6808.00 | 436.00 | 6.04% | 128.12 | 171.75 |
-153.9%
|
7244.00 | 6808.00 | 56.2 | ▲ Bull |
| 5 | SIEMENSTOP | 3823.30 | -1.43% | — | 3909.90 | 3543.30 | 366.60 | 9.45% | 121.90 | 129.10 |
-184.0%
|
3909.90 | 3543.30 | 50.8 | ▲ Bull |
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.