The lesson on YouTube
Watch. Then work through the idea.
Watch the English lesson first, then use the worked example and quiz below to check the idea. The article is a companion, not a transcript.
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What is actually happening?
Repeated turns between two areas describe the past range. Another visit to the lower area may reverse or may extend outside it. A re-entry rule waits for evidence that price has returned inside the earlier boundaries.
Guided example · Synthetic range · execution assumptions stated
Touch, excursion, or re-entry?
Use the same 100–110 range throughout. Price must close back inside.
Restart & example assumptions
Authored synthetic observations, shown in sequence. Every comparison uses only the revealed data. This is a worked learning example, not live prices, broker execution or a profitability backtest. Follow the article’s exact definitions; measurements and pattern names alone do not authorize a trade.
For charts: tap a candle or swing to inspect it; drag horizontally to browse; wheel or +/− to zoom; arrow keys to inspect; Home to restore the step view.
Make the conditions explicit.
Mark a range using at least two observed turns at each edge in a completed sample. Keep the exact boundary rule fixed; do not widen the range to rescue a trade.
Illustrative long rule: a low trades below the lower boundary, then a completed candle closes back inside. Evaluate a next-bar entry and a stop below the excursion low.
Cancel if price closes outside again before entry, if the opposite edge leaves insufficient room relative to initial risk, or if an imminent event violates your pre-declared filter.
The quoted rules are illustrative research specifications. Parameters are not recommendations and have not been presented as profitable backtest results.
What can this cost?
Do not assume every range reaches the far edge. Define your exit policy before entry and include friction when comparing midpoint versus boundary targets.
How the idea can fail.
On a directional day, the apparent re-entry may fail and price can continue below the range. Repeated fading increases cumulative risk.
Practical habit
Calculate available room before you click. A visually attractive entry can still offer a poor fit for your fixed exit policy.
Go one level deeper
Compare range classification at signal time with what a full-day chart later seems to show. The latter is often contaminated by hindsight.
Check your understanding
Should you widen the range after price breaks it?
Further reading & boundaries
These examples are original educational exercises. General background: CME Group: position sizing; Fidelity: technical analysis. Neither endorses these example rules. No hypothetical result establishes future profitability.
Editorial revision: 13 October 2026 · Synthetic data · Educational use