The Homma ORB-15 Indicator

Use this to enhance your market timing skillz

"Its all about the timeframe mi amor.
A daily downtrend can have an uptrend in 5 min.
And a downtrend in 5 min can occur on a daily uptrend" ~Ancient Japanese proverb

So,

picture this:

Things are on a downtrend on the daily.

The faster MAs are all sloping down.

Things are oversold.

A bounce is likely.

And you wanna capitalize.

Maybe an intraday trade?

A quick hit-and-run mission perhaps?

Or, an early entry if the bounce actually leads to a reversal of the higher timeframe?

But you don’t know the right time to enter?

The Homma ORB-15 indicator can be immensely helpful.

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What is the Homma ORB-15 indicator?

Open Range Breakout (or breakdown) is a setup used by intraday traders.

You wait for the 1st candle to form in 5 or 15 minutes (these 2 timeframes are the most popular).

Then wait for the price to pick a direction.

Go long when the current candle closes above the high of the 1st candle.

Short when the current candle closes below the low of the 1st candle.

If the breakout or breakdown sustains, it shows the extent of bullishness or bearishness of the day.

If more ORBs are breaking out and sustaining, this means bullishness and increasing.

If more ORBs are breaking down and increasing, this means bearishness and increasing.

If stocks are rangebound, then it means a sideways day.

Homma ORB-15 plots the percentage of stocks that broke out the 15-minute range high (ORBO) and low (ORBD) and are sustaining.

The above data for 31st October 2023 shows that at 12.10 pm, 40% of all NSE stocks were trading below their 15-minute low and only 20% were trading above the 1-minute high.

So is the day Bullish or bearish?

Now how would this data help and whom?

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How can ORB-15 help you as a trader?

Timing.

Timing the Bounce.

The market is oversold and you anticipate a bounce?

You wanna get in but don’t want to be in early?

Homma ORB-15 will help.

See below how the ORBO crossed ORBD and trended higher on the bounce day from the oversold condition on the 26th of October 2023. CNX500 chart for reference below.

Timing the breakdown.

Markets are overbought and you anticipate a fall?

You wanna take profits or go short but don’t wanna be early?

Homma ORB-15 will help.

(see the breakdowns marked)

Wanna trade Intraday but don’t know the direction of the markets?

Homma ORB-15 will help.

I have shared the Homma ORB-15 indicator in my FREE WhatsApp channel:

Join the channel using the link below: https://whatsapp.com/channel/0029VaCAKfJId7nLN9BLr62w

I do share all my important scanners and dashboards with my Masterclass participants and my private group HPA.

So feel free to check them out (details below)

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That's all for today.

before signing off, I want to reiterate that trading is a universal but personal process.

Each person is unique; therefore, no two traders will have the same system.

But all successful traders will have one.

You have to know yourself as a trader first. This includes answering the following questions:

1. what is my optimal timeframe to trade?

2. what is my risk tolerance?

3. what is the setup that I trade the best?

4. etc etc

If you are unsure about your style and system, Sakatas Homma helps you find it methodically.

I do that in 2 ways:

1. The Sakatas Homma TA masterclass for beginners:

   A monster course 8-10 hours. Hourly sessions on weekends. Twice a year.

   Please register for the next batch using the link below.

   https://docs.google.com/forms/d/e/1FAIpQLScfnQA1w9WDTtTAPEHIqzkS9jhRSZFA1BZXuWRZ5JPZ3Qfu8g/viewform

   Watch my 1st session of the Autumn 2023 batch.

2. Homma Private Access membership:

   HPA is a subscription-based educational service (on WhatsApp). Benefits include:

   1. Daily Market Breadth, Momentum, Sector Rotation, and Relative Strength Update.

   2. Access to my scanners, dashboards, Trading view indicators, and charting layouts.

   3. Weekend hourly session and Q&A.

   4. Live updates on my portfolio and the trading setup rationale.

   5. Live updates of key setups I am tracking.

   6. Premium subscription to The Technical Take.

Yearly membership of 12000/- INR only.

UPI payment & WhatsApp @ 9481506784.

Yours

Sakatas “Methodical” Homma.

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Whatsapp Channel: https://whatsapp.com/channel/0029VaCAKfJId7nLN9BLr62w

Youtube Channel: https://www.youtube.com/@sakatashomma

Academy: https://chat.whatsapp.com/H4qh9YF5eWN99lJ7AvOkJK

Twitter: https://twitter.com/SakatasHomma