Open High Low Same Trading Strategy For NSE / BSE

Open High Low Same

This post was written by me in 2017 and I have added a few extra points in it and thought to republish it for my readers. The open high low same strategy is quite popular among Indian stock traders. In fact, I am watching this strategy for 9-10 years now and this is really easy to follow strategy for even novice traders. This strategy works well in all liquid scrips but I suggest you follow only Nifty 50 stocks with this strategy.

Advantage Of Open High Low Same Trading Strategy:

  • Easy to use
  • No need for prolonged analysis
  • Just follow the market for a few minutes and you get the scrips for the day

How to find a BUY scrip with open high low same strategy?

  1. Collect opening rates for Nifty-50 stocks
  2. Find the scrips with open = low and they are your BUY scrips
  3. Enter the trade after 15-30 minutes of the trade if the opening low is not breached
  4. Keep a stop few ticks below the opening low
  5. Keep a 1.5% to 2% profit target intraday basis
  6. Do not carry forward the trade overnight

How to find a SHORT SELL scrip with open high low same strategy?

  1. Collect opening rates for Nifty-50 stocks
  2. Find the scrips with open = high and they are your SHORT SELL scrips
  3. Enter the trade after 15-30 minutes of the trade if the opening high is not breached
  4. Keep a stop few ticks above the opening high
  5. Keep a 1.5% to 2% profit target intraday basis
  6. Do not carry forward the trade overnight

You can also create a simple excel file to capture live data from your trading terminal. If you are using the Zerodha Pi terminal you can use the LINK TO EXCEL option to import live data from the Pi terminal to an excel sheet. Once you can import the data you can write some simple formulas to create a simple open high low same a trading system.

Open High Low Same
Check the power of the trading system. Watch the massive rally in Bank Nifty after open = low

Creating a Zerodha Pi scanner on the strategy

You can also write a simple scanner on the Zerodha Pi platform. Just create a scanner with the following code for open low same BUY code:

OPEN=LOW

Now, you can create a list of symbols and scan on an hourly candle after 15-30 minutes of market opening. It will scan for scrips with open=low in the first hourly candle.

This strategy can also be used for automated trading in the NSE market. Traders can use Zerodha Pi bridge or AmiBroker software in automating their trades.

Modifications of the strategy and adding filters

Traders can modify this strategy and add filters to it in various ways.

  • Some traders add a time filter. Say, they only take the trade after 1 hour of the market open. In this filter, some initial whipsaw can be erased off but sometimes adding this filter can reduce the profitability. In many scrips, sudden moves come in the first one hour. So, if you add this filter, you may lose some good trading opportunities.
  • Few add a filter of VWAP or volume-weighted average price. In case of open = high, they take a sell trade only if price closes below VWAP in 5 minutes candle. Similarly, in case of open = low, they take a buy trade only if price close above VWAP in the same 5 minutes candle.
  • Some even take the daily trend into consideration. They take a buy trade only if the daily trend is UP and takes a sell trade only if the daily trend is DOWN. For determining the daily trend they take the help of daily moving averages or daily SuperTrend indicator.

Live implementation of the open high low same trading strategy

As we have written that we can create an excel file and trade the OHL same scrips easily. We can add some target and stop loss to the system. In case of open = low buy setup, generally, the traders place the stop loss a few ticks below the opening low. On the other hand in the case of an open = high short sell setup, generally, they place the stop loss a few ticks above the opening high. In case of price breaks the opening high or opening low, that ends the trade and the setup becomes null and void.

In our website, we have created a page dedicated to the OHL same trading strategy. The page is complete with targets and a stop loss. Once the market opens the page will list the stocks that have open = low or open = high. The page will also automatically post a stop loss and 3 targets. target 1, target 2 and target 3.

We checked that these targets get achieved with high accuracy. We suggest you check this page after at least 10 to 15 minutes of the market opens.

Conclusion

So this open high low same is a super simple strategy and even novice traders can use this strategy with ease. But while going live with this strategy one needs to remember, that no strategy can be a holy grail and traders must use proper money management rules while taking the trades.

This strategy is historically proved to be quiet accurate and money-making. Hence, sticking to the strategy even if few trades produce loss is a must. This is ready to use strategy whether you use a Pi scanner or you use our OHL scanner page. Your comments in this regard can take this discussion forward.

Open High Low Same Trading Strategy For NSE / BSE

59 thoughts on “Open High Low Same Trading Strategy For NSE / BSE

  1. thanks for helping small traders.
    open, high ,low wonderful technique sirji.this is expected from you since long. i read first time on sri manikandan’s webinar where he explained the excel formula also.thanks for help to small traders with this useful and simple technique.
    what is bothering is time taken to scan nifty 50 stocks and then midcaps50 and then to implement your decisions quickly,as at same time nfty and bnk nfty intraday traders and commodity intraday traders /news based trade ideas all scramble for attention in 1 st hour only.
    rgrds and thanks sir.
    r.v.rao

      1. Sir, I have noticed that for different brokers, charts are different for example Sharekhan and Zerodha. Sometimes Zerodha chart shows OHL opportunity and some sometimes Sharekhan charts show OHL strategy. For example today there was OHL opportunity in Sharekhan Nifty chart but there was no OHL opportunity on Zerodha Nifty Chart. Which feed is more accurate? Zerodha’s? or Sharekhan’s?

      1. Thanks for the reply sir, One more question. How much percentage can we expect to move. Suppose the script is at 100 rs and you recommend it as openLow on the screener. So how much move can we expect on this sir?

  2. Hello Sirji,
    in the NSE stock screener one more important column is required which is Close price ( previous day close). This is important to check how far the stock has opened from previous close ( up or down ) though you have column 8 for it but still this field is required.
    Also do i need to download this excel or need to check it everytime on your website.
    Thanks.

  3. We r thankful to you to share your knowledge with us. Indeed it’s a great strategy. Sometyms the data in your screener is not accurate. if possible, kindly make a video with live trading with the screener. I am sure, most of people doubt wil get clear. Thanks

  4. How do we shift stop losses? If for example we r in buy position and stock is going up how do we shift stop loss? Will it b close of previous candle?

  5. Dear Indrajit,
    Range break means next candle closing above/below previous candle’s high/low or next candle moving above or below previous candle’s high or low?

  6. Hi, I am new to share trade. Can you please explain it with some examples. I understand that we need to buy when open= low & vice versa.
    But I am confused at what price to buy and sell for profit. Some practical examples will be helpful

  7. hello….
    i am from pakistan…..and want to Set it up all….
    i dont know….how to start trading with “nifty”…
    Let me know…how can i make account with nifty and also let me know the minimum amount to start with….may i know the basic of stock trading ,
    hopefully you will reply me as soon as possible

      1. lot of thanks for the reply sir….
        Sir unfortunately Dont have any relative lives in india…any other solution please?
        and also tell me how much minimum deposit i should have to start with ?

    1. Pranay, if you are looking for a holy grail, definitely, this is not one. From your comment, it looks like you change your strategy after every few days. Plz stick to a strategy and apply some good money management if you want to get success in stock market.

  8. Hello Indrajit,
    I am fairly new to intraday trading. So pls excuse if my question is silly.

    I clearly understand the Open=Low strategy to buy stocks. Buy Open=low stocks and sell with 2% profit.
    But i dont get the Open=High strategy. How could one sell the stock if he does not hold it? Also why would we buy it in the first place, if the strategy says we are going for a loss.

  9. Dear Sir, you mentioned profit target is from 1.5%-2%. Is that the percentage of the stock price? Or percentage of capital employed? I hope it’s not percentage of stock price, for example stocks like HEROMOTOCO has a LTP above 3k, 2% of that would mean 60 rs, and catching a 60 point move in intraday seems too good to be true. So can you please clarify?

    Thank you

    P.S., I’m a beginner in trading so please pardon me if I have offended you

  10. Sir we should use any other filter with this strategy, i mean if the stock has move 1% to 3% higher in first 5 minute candle that means now there is very less seller available.So it give good result. Can you let us know we should use any other filter ot not, If yes then please let us know which filter i should use

      1. Thank you sir today i had use this strategy it gives me 100% result as per your suggestion, If you can, then please let me know which formula you had written for last 2 column( Shorter Trend & Longer Trend) because i had also made my own scanner in excel using trade tiger . Sir it is up to you if you can share or if u don’t want then also it is Okay.
        Thanks
        Mohsin

  11. Dear indrajit sir,

    is this possible to get open range in excel ( like 1st 5 mints or 1st 15 mints or 9.20 am to 9.30 am ) in columns as ( low – high ).

    if its possible please help

    thanks…

  12. April 22, 2018 at 10:18 pm
    Dear indrajit sir,

    is this possible to get opportunity in gap up and gap down in auto trading platform..

    if its possible please help

    thanks…

  13. Hello indrajit sir you done really a great work for people like me. First of all a big applaude for that.

    Sir my querry is i use your NSE STOCK SCREENER after 9:25 so i get the open high low stocks for trade but sir my concern is after select stocks can i add my setup for that stock to yrade??

    1. Karn, once you get the stocks to trade, you can enter them and if needed hold till 3 PM too. Can apply some filters, like if the short term and long term trend are up for a stock it is good to buy and vice versa for short. Also, OH stocks below yesterday’s close are good to short and OL stocks above yesterday’s close are good to buy.

  14. Hello Indrajit,

    The strategy works fantastically. I have added few columns for Profit % & Risk/Reward Ratio. With help of these you can short list profitable Stocks.

    Thanks a lot for your readymade excel sheet (Nobody gives) with separate sheet for trading, so data flow is not affected.

    Daily I scan Stocks by my strategy & import them through Workspace in Notepad. I want your help to update my list in `Link to Excel` & proper addition of Trading sheet.

    Thanks again

    MILIND DIXIT

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