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 | POWERGRIDTOP | 319.21 | +0.00% | NR7 | 317.90 | 314.50 | 3.40 | 1.07% | 3.70 | 3.73 |
8.8%
|
317.90 | 314.50 | 50.0 | — Neut |
| 2 | LTFTOP | 291.61 | +0.00% | NR7 | 295.01 | 287.22 | 7.79 | 2.69% | 7.99 | 8.01 |
2.7%
|
295.01 | 287.22 | 50.0 | — Neut |
| 3 | LTTOP | 4067.22 | +0.00% | — | 4088.10 | 3983.20 | 104.90 | 2.61% | 90.35 | 88.73 |
-18.2%
|
4088.10 | 3983.20 | 50.0 | — Neut |
| 4 | ADANIPORTSTOP | 1584.30 | +0.00% | — | 1618.80 | 1556.50 | 62.30 | 3.93% | 49.17 | 47.72 |
-30.6%
|
1618.80 | 1556.50 | 72.0 | — 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.