What is WRB?

[ChnDragun 10]

I am reading up on some of the VSA stuff here... and ran across WRB. What is this?

 

thanks

[VolumeJedi 10]

The term WRB means Wide Range Body. The body is the distance from the open to the close of the bar/candle.

 

Many have incorporated WRBs into VSA but it is not technically a part of VSA, as VSA does not look a the open. There is a small thread in the VSA section on WRBs take a look. For more complete info go to eliterader and do a search.

[Tataocb 10]

I believe it is a Wide Range Bar. In VSA, the S stands for Spread, which is high - low. Analyzing the spread of the bar is very significant depending on the volume and the location of the bar relative to previous S/R areas.

 

A WRB usually means that the market makers were involved. That's why if you see high volume on a WRB you should become vigilant of what happens next. If it is an upbar, it could mean that the market makers are unloading their positions and price will soon start to drop, you would need to look for weakness in the background and no demand bars, up-thrusts or top reversal to appear before shorting. However, it the WRB pierced through a previous area of resistance, it could mean strength, you would want to look for a test or low volume narrow spread downbars before price resumes the upmove.

 

That is just one example of the role wide range bars play in VSA.

[ALexLutiera 10]

I believe it is a Wide Range Bar. In VSA, the S stands for Spread, which is high - low. Analyzing the spread of the bar is very significant depending on the volume and the location of the bar relative to previous S/R areas.

 

A WRB usually means that the market makers were involved. That's why if you see high volume on a WRB you should become vigilant of what happens next. If it is an upbar, it could mean that the market makers are unloading their positions and price will soon start to drop, you would need to look for weakness in the background and no demand bars, up-thrusts or top reversal to appear before shorting. However, it the WRB pierced through a previous area of resistance, it could mean strength, you would want to look for a test or low volume narrow spread downbars before price resumes the upmove.

 

That is just one example of the role wide range bars play in VSA.

 

this post is one of the good answer!