Opening Range Breakout Case Study: Clean A+ Setup with Follow-Through
Date: May 28
Stock: Ticker Redacted
Strategy: Opening Range Breakout (ORB)
Time Frame: Intraday (15-min candles)
Grade: A
The Setup
The ORB strategy thrives on early morning volatility, and this chart delivered exactly that. After the market opened, price action formed a well-defined range between 9:30 AM and 9:45 AM. No fakeouts. No noise. Just clean momentum.
- ORB High: ~$10.40
- ORB Low: ~$9.96
- Breakout Time: Around 9:45–10:00 AM
- Entry Confirmation: First 15-min candle to break and close above the ORB high.
The Trade
Once the stock broke the green ORB high level, momentum surged. A strong bullish candle closed above the range, signaling conviction. Volume supported the move, suggesting smart money was involved.
- Ideal Entry: Just above $10.40
- High of Day: $11.17
- Potential Gain: ~7% in under an hour
- Risk Zone: Defined by ORB low at $9.96 (clear stop-loss area)
Trade Management
After the breakout, price continued higher with minor pullbacks — never violating the breakout candle’s low. This offered potential add-on opportunities or tight stop trailing.
By 3 PM, the stock began consolidating sideways, signaling exhaustion. Smart traders locked in gains before volume dried up.
Lessons
- Respect the opening range.
- Enter on breakout confirmation, not prediction.
- Volume = conviction.
- Afternoon = digestion — don’t overtrade.
Final Grade: A
This ORB play is a textbook example of what we wait for: clean structure, early confirmation, momentum-backed breakout, and solid follow-through.