MePip 5M ORB Trading (MePip 5M ORB Trading) - MT4/MT5 Resources

This topic is about trading the 5M Opening Range Breakout (ORB) during the New York session.

This strategy is nothing new, it has been around for many years, I didn't invent anything new, what I did was have my coder automate the strategy 100% so that all trades are executed automatically on my broker (Interactive Brokers). I also used a number of different filters to get the highest PF.

I have found this trading method to be simple, without lagging indicators, fast, and have produced good results over the past few months of trading.

I logged my trades in chatGPT, so I asked "her" to elaborate on my strategy:

ORB Method – Accurate Breakout Trading Strategy

The ORB Method is a structured breakout trading strategy designed for precision, consistency and risk management. It exploits the volatility five minutes before the New York open and executes trades on the 1-minute time frame to capture high-probability breakouts. The strategy follows strict trade execution rules to maximize returns and protect capital.

trading tools

1. Trading stocks: Volatile stocks like NVDIA, TSLA seem to perform best, but I also trade on ie. QQQ and WMT.
2. Trading Hours: NY open to 5:00 PM ET. (but usually all trading ends within 1 hour)

Entry criteria: First 5-minute breakout on the 1-minute timeframe

1. Identify the first 5 1-minute candles at the New York Open.
2. Wait for a breakout above/below this range. (We do not wait for the 1M candle to close, we enter immediately when a level is breached.)
3. Execute trades with clear entry points based on the direction of the breakout.

trade management rules

1. Stop Loss (SL): Set at the midline of the ORB range .
2. Profit target:
   1. At 1:1.5 RR , moves SL to breakeven + SL range (so BE is 1R profit) . Depending on stock availability, some I will add a 2. transaction after getting BE plus 1R.
   2. Final price target: 2.5 RR .

3. I can only make one trade per stock per day (conservatively), and for some stocks I can trade both ways, but the maximum is one long and one short.

The biggest challenge <br> Maintain discipline and consistency while following strategy without interruption.

The ORB method is designed to increase efficiency, risk control and strict execution, making it an ideal strategy for systematic breakout trading on the opening 1 minute timeframe .

Some notes/findings:

I applied a series of additional filters, namely:

If the breakout price is roughly the same as the opening price, don't trade as it will usually act as resistance. In addition, if there is a weekly/monthly/yearly high/low closing, abort the transaction.

If the range is large, don't trade (or use a smaller TakeProfit/StopLoss)

It is also very effective for stocks with large overnight differences (more than 3%). Why? Because these stocks tend to have a lot of volatility when they open up or down. There are many great GAP scanners you can check online, and TradingView has a good one too.

I also tested some additional filters, which was not to trade on Fridays as there is usually sideways momentum.

That's it, guys, enjoy.

PC

Perfection is achieved not when there is nothing to add, but when there is nothing to remove. (Antoine de Saint-Exupéry)

Simplicity is the ultimate sophistication. (Jeff Rich)