Dipak Wadhwa Breakout Strategy

Description

The 9:15 to 9:45 Breakout Strategy is a popular intraday trading technique that capitalizes on the market’s initial volatility and momentum within the first 30 minutes after the market opens. This strategy is primarily used in stock markets where the opening range often sets the tone for the day’s trading activity.

Key Points:

1. Setup:
   • Identify the high and low prices of the stock or index between 9:15 AM and 9:45 AM.
   • These prices define the “opening range.”
2. Breakout Entry:
   • Buy Signal: Triggered if the price breaks above the high of the opening range.
   • Sell Signal: Triggered if the price breaks below the low of the opening range.

The 9:15 to 9:45 Breakout Strategy leverages the early market momentum, aiming to catch significant price moves that occur after the initial period of volatility. It requires quick decision-making and strict adherence to entry and exit rules to capitalize on short-term market movements effectively.