(click on image to
view trading results)
Chat Log @
Verification of Price
Action Trade Performance
the left represents what many users in the private chat rooms
were able to see via screen sharing in real-time as the
trades occurred in the broker trade execution platform and then
the same trades are posted real-time (average of 3.2 seconds
delay via an auto-script) in the free chat room.
I took a quick
screenshot during the screen sharing for marketing purposes, for my own private trade
journal documentation (other two monitors not shown for security
& privacy reasons) and for verification
that I traded on that specific trading day I posted real-time
trades in the free chat room for those that were not
in the chat room or not
allowed in the screen sharing for whatever reason with
others that were allowed.
Recent simulation trade performance via the
CME Group Trade Against A Pro Futures Challenge @
Recent real money trade
use WRB Analysis for day trading, swing trading or
position trading...it is a trading course that is an
introduction into understanding the price action you're
trading...it does not teach how to trade.
Action Trading Analysis, Price Action Trading Strategies, Price Action
Trading Chat Room and Price Action Trading Forum @
Foundation of WRB Analysis @
Free Study Guide (word .doc & .PDF file)
of all, there's a free study guide that represents the first three
basic WRB Analysis Tutorial chapters for you to download, review and
apply to your trade signal strategies or to help you
design your own trade signal strategies.
That's right...WRB Analysis is not a trade signal strategy...its an
analysis of the price action so that you will better understand the
price action you're trading along with improving the performance of your own
trade signal strategies when you use key concepts from WRB Analysis.
In fact, one of the
biggest problems with retail traders (that's you) is that
trading is performed first via the perspective of the trade
signal before the analysis or
there's very little understanding of the analysis.
Further, more often than not for retail traders, the documentation & journaling of
the analysis is poor from the beginning and then continuing to
be poor into the documentation & journaling of the trading
(simulator or real money).
In contrast, to
succeed in trading...we need to understand the price action (the
analysis) prior to any trading (simulator or
real money) must be ongoing with the documentation & journaling.
This process will help minimize trade losses and make you a more
consistent / profitable trader as you design your trade signal
strategies or fix problems with your current trade signal
minimum requirement to get traveling along the road of
consistent profits is to first backtest your trade signal
strategy and then properly document & journal your
design/analysis/simulator trading prior to any real money trading.
By the way, you can still manually backtest your trade signal
strategy if you do not know anything about programming & coding.
You just need access to historical data/charts for the manual
backtesting. If you can
not do the minimum requirement prior to real
money trading...you're just a lazy trader that will most likely
join the list of failed traders
---> Trade Signal Strategy --->
Backtest Trade Signal Strategy
---> Simulator Trading (documenting & journaling) ---> Real Money Trading
(documenting & journaling)
I know what you're
thinking. Yep, its a lot of work and nobody told you that you will need to
do the above to succeed as a profitable trader but you gotta do the work
or else you will just become another failed trader. You can get started via
starting your private trade journal at TheStrategyLab.
Private Trade Journals & Private Threads
With that said, M.A.
Perry (that's me) begin developing this type of price action analysis of the
markets in the early 1980's and begin trading one strategy derived from WRB
Analysis in the late 1980's. I then begin documenting WRB Analysis online
via the user name NihabaAshi (user name derived from martial arts and
Japanese Candlesticks Analysis). Today, I use the online user name wrbtrader
and I now use several different trade signal strategies embedded
with key concepts from WRB Analysis to exploit different types
of market conditions due to the fact that market conditions are
never the same from one trading day to the next trading day as
in one size does not fit all.
Thus, I concentrated on understanding the price action (trends, range, chop
et cetera) via WRB Analysis for many years prior to developing my first
trade signal strategy with rules
from entry to exit...prior to my very first trade.
Further, in the 1980's when I first started studying the markets (no trading
at this time for many years) because I was a teenager...I came upon the price action of a WRB
accidentally when a hand drawn chart I was preparing for a relative, that
was a floor trader at the time, when I realized upon completing the hand
drawn chart that I was
missing one interval.
That missing interval was a Wide Range Bar (expansion bar) in comparison to prior intervals.
In my review, I noticed how that missing interval had impact on a few swing points,
reaction points and profit targets
later in the hand drawn chart.
I immediately began studying other charts of different markets and started
seeing other similar like price actions to prompt my initial curiosity into
what I would later call WRB Analysis.
Yet, I initially called them Wide Range Bar Analysis until I had access to
candlestick charting software in the early 90's. Thus, I traverse from bar
charts to candlestick charts and my definition of the word WRB involved both
candlestick charts and bar charts. However, I developed a preference of Wide Range
Analysis (candlestick charts) because I was able to quickly "visualize" the
developing price action on candlestick charts in comparison to using bar
charts especially when I became more of a price action only trader that
doesn't use computer codes nor automation trading to exploit changes in
supply/demand via changes in volatility.
What exactly is WRB Analysis?
WRB Analysis is a method that involves the combination of analyzing changes
in volatility and supply/demand. Simply, WRB helps traders to understand and exploit
changes in volatility as a way to identify key price areas where there's an
important change in supply/demand prior to the appearance of any trade
WRB Analysis can be applied to time based candlestick
or bar charts, volume based charts or tick based charts although the chart
examples at this website are via time based
Also, WRB Analysis identifies changes in supply/demand that's occurring between buyers and
sellers along with providing a map for exploiting the price action from
swing point to swing point regardless if your a day trader, swing trader or
The word WRB means
Range Body (candlestick chart users) or Wide Range
Bar (bar chart users) and there are different types of WRBs based upon volatility
analysis, gap analysis or support/resistance analysis.
The wide range is an interval that has a body (difference between Open
and Close) or bar (difference between high and low) with a price area larger than
each of the prior
three intervals. In fact, you can use any number greater than three intervals as long as it's
not less than three due to the behavior of volatility analysis because its
less reliable and too difficult to analyze the volatility of two intervals
or less regardless if the intervals are based upon time, volume or tick.
Simply, you want as much market context as possible from the price
action to help ensure proper analysis of changes in volatility and
Therefore, don't mix the definitions of
Range Body with a
Bar even though both are
The Wide Range Bar is a term associated with Bar charts and
represents the price area between the High and Low.
In contrast, Wide Range Body is a term associated with Candlestick
charts and represents the price area between the Close and Open.
However, regardless if you're using bar charts or candlestick charts, WRB
Analysis can be applied to any type of chart where you can see WRBs and WRB
Hidden Gaps. Yet, there will often be a
different number of WRBs, WRB Hidden Gaps and WRB Zones depending upon what
aspect of the expansion interval is being used as a measurement. However, even though you may see
the word body used more often than the word bar in my
discussions of WRB Analysis at TheStrategyLab.com or charts posted elsewhere
online, it does not imply that candlestick charts should be used instead of
bar charts…it’s only because I have a personal preference in using
candlestick charts even though WRB Analysis has nothing to do with Japanese
In fact, about
25% of our clients use bar charts instead of candlestick charts while
using WRB Analysis in their trading.
Charts of WRB (wide range bodies) and
(wide range bars)
click on chart to
view actual size
We ask for you to take a closer look and review the chart examples on the left to see
the technical difference when comparing a candlestick chart to a bar chart
via WRB Analysis. Charts on the left in the image represents all WRBs
whereas charts on the right in the image represents the important WRBs
called WRB Hidden Gaps. It's the WRB Hidden Gaps that traders
should be monitoring because they represent key changes in supply/demand and
volatility. Simply, not all WRBs are important and the few that are
important must be identified to be able to identify where key market
participants are most likely to get involved in the price action.
Also, most charting programs that
allows coding can be setup to automatically identify WRBs or WRB Hidden Gaps
(e.g. tradestation, metatrader, multicharts, esignal et cetera).
Analysis in combo with your Strategy
WRB Analysis are not trade signals by itself. Instead, it must be merged
with your trade signals or used to confirm a trade signal is valid for
trading. Thus, WRB Analysis is an understanding of the price action and that in
itself makes it much more important than just trade signals.
It can be used just to get a better understanding of what really is leading
your trading instrument for a particular trading day, used only as profit
targets for those that have trouble staying with their winners, used to
improve the trade management (after entry) of many different types of
methods or trading styles (day trader, swing trader or position trader).
Therefore, the purpose of WRB Analysis
is to be integrated into your own
methods to enhance their performance of any of the
following strategies you may be using as your trade methodology:
Double Bottom/Double Top Strategy
GAP Strategy (Regular Session Gaps and Globex All Session Gaps)
Profit Target Strategy
Volume Spread Analysis (TheStrategyLab.com has a few clients using VSA even
though we ourselves do not use this methodology)
Market Seasonal Tendencies (Cycles) Analysis
Volatility Analysis and it replaces the need for volume analysis
Japanese Candlestick Patterns (time and volume based candlestick charts)
Traditional Chart Patterns (ex. triangles, wedges, head and shoulders,
flags, pennants and rectangle price action)
Technical Indicators (ex. rsi, cci, macd, stochastics, moving averages,
average true range, obv and many others)
Trading Instruments suitable for WRB
The nature of WRB Analysis Tutorials makes it suitable for any
of the following trading instruments.
Exchange Traded Funds
WRB Analysis Tutorial Chapters 1, 2 and 3 Free Study Guide
You can download the free study guide @
However, if you are not using any of the above trade
methodologies and want to find out more information about our trade strategies that has WRB Analysis
integrated into the strategies...click
Last of all, if you have any trading related questions...please do not hesitate to contact us because we've
helped hundreds of traders regardless if they use our methods or their own