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Session Open Range on an index: why it cannot be reproduced

Hypothesis instrument
US100
Status
Not reproducible
Reason
required data unavailable
Portal data
EUR/USD
Author: ForexNews24 Research Desk
Hypothesis
A breakout of the range of the first hours of the trading session continues through the day and can be traded systematically.

Methodology

  1. The hypothesis requires intraday data with session timestamps to isolate the opening range and the moment of its breakout.
  2. Daily bars give one point for the entire day and contain neither the session boundaries nor the intraday range.

Why the hypothesis cannot be tested on our data

The hypothesis is built on the range of the first hours of the session and on intraday liquidity dynamics. A daily bar gives one point for the day and contains none of the opening range on whose breakout the entry is built.

What a fair test would require
You would need intraday bars (minute or hourly) with trading-session timestamps and data on intraday volatility by hour.

We deliberately give no figures here: a result computed on unsuitable data would be a fabrication. Blank space is more honest than a fake study.

Reproduce this

Download the exact sample and run the logic yourself — the numbers above should match.

A Binance spot EUR/USDT proxy series, not a forex-broker feed. Binance Spot REST API (api.binance.com/api/v3/klines).

Conclusion

The hypothesis cannot be tested on daily data: all of its mechanics live within the day, and a daily bar contains neither the session’s opening range nor the moment of its breakout.

Practical takeaway for the trader

Session strategies apply only to instruments with a pronounced open and an influx of volume in the first hours; on a round-the-clock market the notion of an opening range blurs.

FAQ

Why can it not be tested on daily bars?

The strategy is built on the range of the first hours of the session, and a daily bar gives one point for the day. Neither the session boundaries nor the opening range are present in daily data.

On which instruments does it actually work?

On instruments with a pronounced session open and an influx of volume in the first hours. On a round-the-clock market with no clear start, the notion of a range loses meaning.

What would be needed to test it?

Intraday bars with session timestamps and data on intraday volatility by hour.

From research to application

In our Allocation product we implemented these algorithms with all the nuances covered across the portal.

Learn about Allocation