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 | LTFTOP | 281.70 | -0.35% | NR7 | 284.60 | 280.50 | 4.10 | 1.46% | 9.05 | 7.88 |
48.0%
|
284.60 | 280.50 | 34.7 | — Neut |
| 2 | LTTOP | 4079.80 | +0.80% | — | 4069.90 | 4017.90 | 52.00 | 1.28% | 58.20 | 58.87 |
11.7%
|
4069.90 | 4017.90 | 62.0 | ▲ Bull |
| 3 | ADANIPORTSTOP | 1824.50 | +0.73% | — | 1842.80 | 1809.90 | 32.90 | 1.80% | 21.65 | 27.72 |
-18.7%
|
1842.80 | 1809.90 | 56.9 | ▲ Bull |
| 4 | POWERGRIDTOP | 300.15 | +2.60% | — | 301.25 | 292.00 | 9.25 | 3.08% | 5.26 | 5.46 |
-69.4%
|
301.25 | 292.00 | 29.1 | ▼ Bear |
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.