Gold Opening Range Breakout

For London ORB, be ready at 3:00 PM SGT (range forms 3:00-3:30/4:00 PM). For US ORB, be ready at 9:30 PM SGT (range forms 9:30-10:00/10:30 PM). Set alerts so you don't miss the range formation.

Wait for a candle CLOSE above/below the range (not just a wick). Also check for above-average volume on the breakout. If breakout occurs but price immediately reverses back inside within 1-3 candles, it's a failed breakout.

Small range (< $4): Expect larger move but more false breakouts initially. Wide range (> $15): The move may have already happened; consider skipping or using smaller size as the stop will be wide.

ORB is primarily a session strategy. If target not reached by session end, consider closing or trailing stop tight. Holding overnight adds gap risk. Some traders close by session end regardless.

Asian session ORB for gold is less reliable due to lower volatility. Gold doesn't move as much during Asian hours. Focus on London (3 PM SGT) and US (9:30 PM SGT) for gold ORB.

Check the daily chart trend before the session. If daily trend is up (price > 20 SMA, higher highs/lows), only take long ORB breakouts. If down, only short. This aligns ORB with larger momentum and improves win rate.

30-min ORB gives earlier entries but more false breakouts. 60-min ORB has wider range, later entries, but more reliable breakouts. Start with 30-min; If too many false breaks, try 60-min.

Some days are 'range days' where price stays within the opening range. Accept no trade; range days happen. Alternatively, trade the range by fading extremes (buy at ORB Low, sell at ORB High), but this is a different strategy.

Yes! If London ORB triggers, manage it. Then define US opening range when US opens. You can have two ORB trades per day. Just ensure total risk doesn't exceed your daily limit.

Don't chase at a much worse price. Wait for a pullback to the ORB level (which should now be support/resistance). If price pulls back and bounces, enter on the bounce. If no pullback, skip the trade.

Backtest 15, 30, 45, and 60-minute periods on gold using at least 1 year of data. Measure win rate, average win/loss, and expectancy for each. Typically 30-60 minutes works best for gold. Re-optimize periodically.

Identify NR7 days (narrowest range of 7 days) on the daily chart. The following day's ORB breakout often has larger potential. Use wider targets (2-3× range) on post-NR7 days as volatility expansion is likely.

When breakout fails (closes back inside range within 1-3 candles), enter opposite direction on the failure confirmation. Stop beyond the failed breakout extreme. Target opposite side of range, then extension. Trapped traders fuel the reversal.

Add session VWAP to your chart. For long ORB, also require price to be above VWAP at breakout. For short ORB, require below VWAP. This adds institutional level confirmation. Skip if ORB direction conflicts with VWAP position.

Aim for positive expectancy: (Win% × AvgWin) - (Loss% × AvgLoss) > 0. Example: 55% win rate with $80 avg win and $60 avg loss = $17 per trade. Higher expectancy is better. Below $10 per trade may not cover costs.