Opening Range Breakout Strategy (ORB) for Day Trading (5-Minute Backtest and System Analysis)

Opening range breakout trading strategies (ORB) are popular strategies, perhaps because of Tony Crabel’s classical trading book published in 1990: Day trading With Short Term Price Patterns And Opening Range Breakout. 31 years after it was published we still see an abundance of opening range breakout strategies on the internet. But do opening range breakouts work? We test some opening range ideas quantitatively:

Unfortunately, opening range breakout trading strategies don’t work very well anymore. In this article, we do some backtests on trading the opening range breakouts on the S&P 500.