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JP225 Opening Range Break Strategy

1 by funchi
These are the trading rules for the JP225 stock index CFD.

The year-to-date performance is shown in the top left of the chart.
In summary: 20 trades, a 70% win rate, and a payoff ratio of 1.7.
Please refer to the attached chart for full details.

Indicators used:
Previous day’s Tokyo market high (09:00–15:00 JST) – red
Previous day’s Tokyo market low (09:00–15:00 JST) – blue
Previous day’s closing price (from the Tokyo market through to the US market) – yellow
VWAP line from 09:00 of the previous day (anchored at 09:00 of the previous day, two-day VWAP) – white
5-minute opening range (09:00–09:04) and entry cut-off time (10:00)
Vertical line marking 09:00 (start)
Vertical line marking 11:00 (end)

Instrument:
JP225 stock index CFD

Timeframe:
1-minute chart

Entry Conditions (for long trades; short conditions are omitted):
It must not be a Japanese public holiday.
Between 09:05 and 10:00 Japan time.
The opening range has been broken.
One of the following has functioned as support: the previous day’s high, low, close, or VWAP.
Price is trading above the VWAP.

Key points:
Support has been confirmed within the opening range, or support has been broken.
If any of the previous day’s high, low, or close is positioned above and is likely to function as resistance, the risk–reward ratio must be at least 1:1.

Exit conditions (long positions):
When the pullback low is broken.
Or when a new high is made.
Or at 11:00.

Stop loss:
Pullback low.
Or the most recent low.

Trailing stop:
Pullback low.

Position size:
1% of account balance.

Important:
Please adjust the time settings for each indicator.

My trading environment is as follows:
The MT4 server is set to GMT+2 (winter).
02:00 server time (winter) corresponds to 09:00 Japan time.
09:00 Japan time is the Tokyo market open.

During summer time, manual adjustment is required as follows:
03:00 server time (summer) corresponds to 09:00 Japan time.
09:00 Japan time is the Tokyo market open.

Subjectivity in identifying the pullback low:
The pullback low and the most recent low may be interpreted differently by each trader.
Therefore, results may be significantly affected. Please be aware of this.

Other
In order to maintain a consistent sense of daily volatility, the price scale is fixed.
The “PriceScaleFixed” indicator fixes the price scale at approximately 1,500 yen.
It can be adjusted by dragging within the price scale area.
These users thanked the author funchi for the post (total 7):
eduarescobar, ricosuaveiii, Abdi, Curioso, Nabs, Jimmy, bryangh
Rating: 4.1%
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%
I will not create indicators without the publication of a trading system.
While I am motivated to develop greedy systems for trading systems that are already satisfactory,
I will not assist with the development of your trading systems.
Please publish your trading system first before requesting the creation of indicators.
funchi
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Re: JP225 Opening Range Break Strategy

2 by funchi
Important Notes
The definitions of a pullback low and a recent low have not been specified.
These are based on my personal discretion and market feel. As this may affect reproducibility, you should clearly define these terms yourself, conduct thorough backtesting, and verify the results before using this strategy.
At present, the approach appears promising; however, statistical validation remains insufficient.
Please ensure you perform your own backtesting and verification prior to implementation.
These users thanked the author funchi for the post (total 3):
Abdi, Curioso, ricosuaveiii
Rating: 1.8%
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%
I will not create indicators without the publication of a trading system.
While I am motivated to develop greedy systems for trading systems that are already satisfactory,
I will not assist with the development of your trading systems.
Please publish your trading system first before requesting the creation of indicators.
funchi
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%

Re: JP225 Opening Range Break Strategy

3 by ricosuaveiii
funchi wrote: Wed Feb 18, 2026 10:22 pm These are the trading rules for the JP225 stock index CFD.

The year-to-date performance is shown in the top left of the chart.
In summary: 20 trades, a 70% win rate, and a payoff ratio of 1.7.
Please refer to the attached chart for full details.

Indicators used:
Previous day’s Tokyo market high (09:00–15:00 JST) – red
Previous day’s Tokyo market low (09:00–15:00 JST) – blue
Previous day’s closing price (from the Tokyo market through to the US market) – yellow
VWAP line from 09:00 of the previous day (anchored at 09:00 of the previous day, two-day VWAP) – white
5-minute opening range (09:00–09:04) and entry cut-off time (10:00)
Vertical line marking 09:00 (start)
Vertical line marking 11:00 (end)

Instrument:
JP225 stock index CFD

Timeframe:
1-minute chart

Entry Conditions (for long trades; short conditions are omitted):
It must not be a Japanese public holiday.
Between 09:05 and 10:00 Japan time.
The opening range has been broken.
One of the following has functioned as support: the previous day’s high, low, close, or VWAP.
Price is trading above the VWAP.

Key points:
Support has been confirmed within the opening range, or support has been broken.
If any of the previous day’s high, low, or close is positioned above and is likely to function as resistance, the risk–reward ratio must be at least 1:1.

Exit conditions (long positions):
When the pullback low is broken.
Or when a new high is made.
Or at 11:00.

Stop loss:
Pullback low.
Or the most recent low.

Trailing stop:
Pullback low.

Position size:
1% of account balance.

Important:
Please adjust the time settings for each indicator.

My trading environment is as follows:
The MT4 server is set to GMT+2 (winter).
02:00 server time (winter) corresponds to 09:00 Japan time.
09:00 Japan time is the Tokyo market open.

During summer time, manual adjustment is required as follows:
03:00 server time (summer) corresponds to 09:00 Japan time.
09:00 Japan time is the Tokyo market open.

Subjectivity in identifying the pullback low:
The pullback low and the most recent low may be interpreted differently by each trader.
Therefore, results may be significantly affected. Please be aware of this.

Other
In order to maintain a consistent sense of daily volatility, the price scale is fixed.
The “PriceScaleFixed” indicator fixes the price scale at approximately 1,500 yen.
It can be adjusted by dragging within the price scale area.
Hi Funchi, thank you for sharing the strategy.

Can you please share the FNC_VWAP_JP225.ex4 indicator? Thank you.
These users thanked the author ricosuaveiii for the post:
funchi
Rating: 0.6%

Re: JP225 Opening Range Break Strategy

4 by funchi
ricosuaveiii wrote: Thu Feb 19, 2026 6:02 pm Hi Funchi, thank you for sharing the strategy.

Can you please share the FNC_VWAP_JP225.ex4 indicator? Thank you.
Sorry. I forgot to include it in the ZIP file.
Please download it from Post #1.
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%
I will not create indicators without the publication of a trading system.
While I am motivated to develop greedy systems for trading systems that are already satisfactory,
I will not assist with the development of your trading systems.
Please publish your trading system first before requesting the creation of indicators.
funchi
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%

Re: JP225 Opening Range Break Strategy

7 by funchi
GalactusFX wrote: Thu Feb 19, 2026 10:04 pm would like to make a contribution
Thank you very much. I will accept your kind offer in spirit only.
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%
I will not create indicators without the publication of a trading system.
While I am motivated to develop greedy systems for trading systems that are already satisfactory,
I will not assist with the development of your trading systems.
Please publish your trading system first before requesting the creation of indicators.
funchi
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%

Re: JP225 Opening Range Break Strategy

8 by funchi
  • All indicators have been updated to improve processing speed.
  • The template’s default settings have been changed to improve processing speed.
  • Please download it from Post #1.
  • There will be no further updates going forward unless an issue arises.
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%
I will not create indicators without the publication of a trading system.
While I am motivated to develop greedy systems for trading systems that are already satisfactory,
I will not assist with the development of your trading systems.
Please publish your trading system first before requesting the creation of indicators.
funchi
%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%

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