Squeezing Range

Squeezing Range

Squeezing Range Stocks

Squeezing Range Stocks

What are Squeezing Range Stocks?

Squeezing Range Stocks are stocks that are trading in a very narrow price range. This means the price fluctuations are minimal, indicating reduced volatility. Typically, this kind of price action happens during consolidation, where buying and selling are balanced, and the stock is neither moving up nor down significantly. When the price of a stock squeezes into a tight range, it often signals that a major price move may be on the horizon. Traders closely watch these stocks as they could break out in either direction, offering potential trading opportunities.

What do Squeezing Range Stocks Tell Us?

Squeezing Range Stocks indicate that the stock is in a phase of low volatility and consolidation. This usually means that the market is undecided, with neither buyers nor sellers showing enough strength to move the price significantly. Such periods of low volatility can be followed by a sharp movement, either upwards or downwards, as market participants take positions when the price breaks out of the narrow range. Essentially, squeezing range stocks hint at a build-up of energy, and traders see them as potential setups for future volatility.

Filters Used to Sort the Above Stocks

1. Upper BB - Lower BB < Average True Range x 2

This filter is used to find stocks where the Bollinger Bands are narrow, indicating reduced volatility and consolidation. The comparison with Average True Range helps identify stocks that are likely to break out, as low volatility phases often lead to significant price movements. These filters are used to spot stocks in a phase of low volatility, suggesting potential breakout opportunities.

Key Takeaways

1. Low Volatility Phase

Squeezing range stocks are in a phase of reduced volatility, which can indicate that the market is undecided, with price movements being minimal. Such phases often come before larger moves, as the stock consolidates before deciding on a direction.

2. Potential for Breakout

When a stock is trading in a narrow range, it often suggests a potential breakout is imminent. This could lead to either a bullish or bearish trend, depending on which side gains control, making these stocks important for traders looking for new opportunities.

3. Balance Between Buyers and Sellers

During a squeezing range, the price action reflects a balance between buying and selling forces, resulting in tight trading ranges. This balance often precedes a tipping point where one side takes over, causing a sharp price movement.

4. High Risk-High Reward Setup

While squeezing range stocks can offer lucrative opportunities for sharp price movements, they also come with the risk of false breakouts. Traders need to be cautious and use additional indicators to confirm the direction before taking action.

5. Market Uncertainty and Price Movement

Squeezing range stocks reflect a period of market indecision, where price movement is minimal and volatility is low. This phase could end with a significant breakout, either to the upside or downside. Investors should be aware of this buildup of energy, as it indicates a potential sharp price movement that could impact trading strategies.

This section explains stocks that are currently trading within a narrow price range, also known as squeezing range stocks. Such stocks are showing a period of lower price movement, suggesting that volatility has decreased and the price is consolidating. A squeezing price range can often be a precursor to significant price action, as the stock may be building momentum for a potential breakout. Traders and investors use this data to identify opportunities where price volatility may expand in the near future, leading to either a bullish or bearish move.

Upper BB - Lower BB
Average True Range x 2

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Price
Day Price Change
Price %Change
Volume
PE Ratio
Market Cap
321.40 -19.20 -5.64% 62,37,853 - 73,364
1,569.60 -38.50 -2.39% 6,99,413 40.26 44,734
216.25 -3.62 -1.65% 39,66,837 493.75 28,669
4,897.40 -83.80 -1.68% 32,902 43.01 22,010
793.55 -6.65 -0.83% 1,74,428 48.29 19,277
375.60 -7.80 -2.03% 28,35,242 42.34 15,944
1,020.30 -46.50 -4.36% 59,481 30.65 15,911
1,210.80 -14.00 -1.14% 90,065 44.27 15,562
356.40 -1.60 -0.45% 3,66,451 52.09 15,518
1,416.10 0.50 0.04% 4,28,228 60.23 12,786
1,194.30 -25.30 -2.07% 1,45,226 49.77 12,691
721.55 -1.85 -0.26% 57,794 293.89 11,252
820.95 -13.10 -1.57% 50,692 95.48 10,885
171.91 -4.31 -2.45% 17,72,927 22.95 10,667
799.25 -14.10 -1.73% 3,30,213 35.09 9,405
631.00 3.85 0.61% 52,48,704 25.09 9,339
640.40 -9.55 -1.47% 2,66,299 49.86 8,224
464.20 -14.40 -3.01% 4,75,094 21.31 7,630
9,615.90 -287.05 -2.90% 868 56.27 7,623
1,117.90 -28.70 -2.50% 24,290 28.97 6,744
525.80 -6.70 -1.26% 25,626 48.53 6,626
1,011.80 -21.30 -2.06% 1,41,901 24.01 6,164
149.77 -5.22 -3.37% 9,46,026 - 4,860
336.85 -6.50 -1.89% 1,75,834 22.19 4,856
1,764.60 -14.90 -0.84% 58,570 91.40 4,798