What is the 15-Minute Opening Range Scalp Strategy?
The 15-Minute Opening Range Scalp Strategy is a time-sensitive strategy that is applied at the opening of the S&P 500 Index.
It is a breakout strategy, relying on breakouts that occur after the price ranges for the first 15 minutes after the opening of the S&P 500.
It is such a flexible and short-term scalping strategy.
The strategy is so suitable for part-time traders who are usually busy throughout the day with only a few minutes to an hour to spare.
Such kinds of traders only require about 15 minutes to watch the markets at the opening of the S&P 500 Index and that will be all.
If that is you, then you have just found a perfect strategy to make you some money in Olymp Trade.
But when does the S&P 500 Index open?
The S&P 500 Index is offered at the New York Stock Exchange (NYSE) and it opens when New York Market opens.
The New York Stock Exchange opens at 14:30 GMT and closes at 21:00 GMT daily, from Monday to Friday, and is closed during weekends.
It is the opening time which is of interest to us here, so use a time converter to know what time 14:30 GMT is, in your local time.
Wondering how you can make up to $50 on S&P using a less involving strategy in Olymp Trade?
In this post, I will show you how to use the 15-Minute Opening Range Scalp Strategy to make up to $50 trading in Olymp Trade.
Using the 15-Minute Opening Range Scalp Strategy to Make Up to $50 Trading in Olymp Trade.
The 15-Minute Opening Range Scalp Strategy is a breakout trading strategy that applies at the open of the S&P 500 Index as mentioned.
With the strategy, you can place only one trade a day for five days a week.
Here are the simple steps to using the 15-Minute Opening Range Scalp Strategy to make up to $50 in Olymp Trade:
Choose the S&P 500 Index.
This strategy focuses only on trading the S&P 500 Index.
Therefore, you must first choose the S&P 500 Index as your traded asset.
To do so, click on the assets button.
Choose Indices and under indices, select S&P 500.
That way, the S&P 500 Index chart will open and you can now proceed to work on the chart.
Mark 14:30 GMT.
14:30 GMT is the time when the S&P 500 Index opens.
You will have to mark it so that you can count the next 15 minutes from then.
That is because this strategy is time-sensitive and so based on the time of opening of the index.
Use a vertical line to mark the time 14:30 GMT on your chart and proceed to the next step.
Change Price Chart to the 1 Minute Timeframe.
For better observation of the chart, it is best to change it to the 1-minute timeframe.
To do so, click on the timeframe button and adjust the chart to 1 minute.
You can easily count 15 candlesticks and the range will look better and more like a range.
A 1-minute timeframe gives us a finer chart which is better to look at within the span of 15 minutes.
Allow the Price to Range for the First 15 Minutes.
You will then need to allow the price to move while observing it for the first 15 minutes.
That will just be 15 candlesticks since 14:30 GMT and so the range will be appealing to look at.
Draw the 15 Minute Range.
Within those 15 minutes or those 15 candlesticks, you will need to draw a range.
This is a 15-Minute Opening Range Scalp Strategy, so drawing a range is inevitable.
But how do you draw this range?
Just look at the 15 candlesticks quickly, spot the candlestick with the highest high and that with the lowest low.
If yes, then use horizontal lines to draw resistance at the high of the candlestick with the highest high.
Also, use another horizontal line to draw support at the low of the candlestick with the lowest low.
That way, you have drawn the 15-minute range since the opening of the S&P 500 Index.
It is such a range from which you will anticipate a breakout upwards or downwards.
Remember this strategy is a breakout strategy, and breakouts occur where prices have consolidated or ranged first.
Place Buy Stop and Sell Stop pending Orders.
You cannot say that the price of the S&P 500 Index will breakout upwards with certainty, and neither can you say it will breakout downwards with such certainty.
What you can however do is to anticipate a breakout in any direction.
When you anticipate a breakout in either direction, you place both buy and sell stop pending orders.
That is so that if the breakout occurs upwards, the buy stop order is activated hence profits, and if the breakout occurs downwards, the sell stop order is activated hence profits.
So what then?
Place a buy stop pending order two ticks above the high of the range you drew.
Additionally, place a sell stop pending order two ticks below the low of the range you have drawn.
Wait for Breakout and Close Inactive Pending Order.
Do you think that this breakout will take centuries to occur? If yes, you are definitely wrong.
You see the 15 minutes you have used to establish the range?
The breakout may even occur in the next minute, meaning that you will have only spent 16 minutes observing the chart.
So the breakout won’t take any long before occurring.
It’s a fast-paced strategy we are dealing with here, a scalping strategy, right? So the breakout is just one to three minutes away.
If the breakout occurs upwards and activates the buy stop pending order, close the sell stop order.
On the other hand, if the breakout occurs downwards and activates the sell stop pending order, close the buy stop order.
The 15-Minute Opening Range Scalp is a scalping strategy. All scalping strategies are fast-paced and so trades do not take so long before being closed.
Whether in profit or loss, a scalping strategy ensures that such trades are closed within seconds to minutes.
This strategy only allows you to gain only a 1-point profit or get a 1-point loss.
Therefore, adjust your buy and sell stop pending orders with a 1-point Take Profit as well as a 1-point Stop Loss.
A point is just a whole number in the index value and that can be achieved in seconds to minutes when the breakout is rapid.
A move from 3716.88 to 3717.88 is an increase by 1 point.
Each point movement has a dollar value attached to it, but the exact value varies.
Now, with the above strategy, don’t you think you can make up to $50 trading in Olymp Trade?
Take only one point daily, just as the strategy stipulates, and say that such 1 point is equivalent to $1.
However, the ratio of S&P 500 points to dollars is not 1:1, because it may even be more, and depending on how much of the index you buy or sell.
Go by the 1:1 ratio anyway. That way, you only need 50 such trades and in roughly three months, you will have made over $50 in Olymp Trade.
That is of course using the 15-Minute Opening Range Scalp Strategy.
Let us say that you had a $50 Olymp Trade account. You can see that you will have doubled it in only three months.