Trade the previous-day range like a pro
Split yesterday's range into quarters — 0.25, 0.50, 0.75 — and let price tell you where to react. Learn the map, see real EURUSD, Gold, NASDAQ and BTC examples, then grade your own level trade live.
Yesterday's high and low are tomorrow's map. Divide that range into quarters and you get clean, repeatable zones: buy reactions in discount (0.25), sell reactions in premium (0.75), and target the 0.50 in between.
See the quarter map
Yesterday's range split into five levels. Watch the discount-to-equilibrium bounce, then flip to the premium sell.
- Mark the range: take the previous day's high (1.00) and low (0.00).
- Split into quarters: 0.25, 0.50 (equilibrium) and 0.75.
- React at the edges: buy at 0.25 in discount, sell at 0.75 in premium, target the 0.50.
Grade your setup — the Quarter-Level Planner
Tagging a level isn't a trade. Tick what's true on your chart and the planner scores the level reaction live — verdict, risk, and a full plan.
A+ setup
Conditions & recommendations
The checklist behind the planner. Trade reactions that meet the green column, avoid the red, and execute the same way every time.
✓Take the trade when…
- Price is reacting at a quarter (0.25 / 0.75), not floating mid-range.
- You're buying in discount / selling in premium, with the bias.
- A clear rejection candle prints at the level.
- The previous-day range is clean and obvious (not an inside day).
- There's confluence — a round number, prior level, FVG or order block.
- London/NY session, with no red-folder news due.
✕Skip / stand down when…
- You trade the 0.50 equilibrium (no edge).
- You buy premium or sell discount (against the map).
- The range is messy or tiny (no clean high/low).
- You enter with no rejection — just because price tagged the line.
- It's dead hours, or news is inside the hour.
The execution — same every time
- Entry: buy the rejection at 0.25 (discount) / sell at 0.75 (premium).
- Stop: beyond the range extreme — the PDL for longs, the PDH for shorts.
- Target: the 0.50 equilibrium, then the opposite quarter; bank partials at 0.50.
- Risk: fixed % — A+/A 0.50%, B half, C nothing.
What each grade means
Textbook confluence. Full plan, full risk. The trades you screenshot.
Strong and tradable. Take it with full risk and a tight plan.
Marginal. Half size, or wait for one more confirmation to upgrade it.
Not enough behind it. Skip — there's always another setup.
Real chart examples
Quarter-level reactions across the markets we trade, with the entry, stop and target marked.
Tradable level or not?
A line on the chart isn’t a setup. Decide for each before you reveal the answer.
Common mistakes
Almost every losing level trade comes back to one of these four.
Trading the 0.50
The equilibrium is the middle of the range — there's no directional edge.
Wrong side of the map
Buying premium or selling discount means paying the worst price.
No rejection
Entering the moment price tags the line, with no reaction.
Messy range
Using an inside day or a tiny range gives unreliable quarters.
How quarter levels fit the rest of the method
Quarter levels are the map; Candle Range Theory is the trigger. The best reactions happen when a 0.25/0.75 quarter lines up with a fair value gap, an order block, or a liquidity sweep and structure shift. That confluence is the heart of how our signals are built.
Quarter-level FAQ
The questions traders ask most about the previous-day range — short, straight answers.
What is the previous-day range strategy?
You take yesterday's high and low, split that range into quarters (0.25, 0.50, 0.75), and trade the reactions: buy in discount at the 0.25, sell in premium at the 0.75, and target the 0.50 equilibrium.
What are quarter levels (0.25 / 0.50 / 0.75)?
They divide a range into four equal parts. The 0.25 and 0.75 are the discount and premium reaction zones, and the 0.50 is the equilibrium / mean that price is often drawn back to.
What is premium and discount?
Above the 0.50 is premium (expensive — look to sell), below the 0.50 is discount (cheap — look to buy). Trading from the right side of equilibrium is the core of the strategy.
Which timeframe do I use for quarter levels?
The range is usually the previous day (daily candle), and entries are timed on a lower timeframe such as 15M or 5M. The same idea also works on the previous week's range for swing trades.
Does this work on gold and indices?
Yes. Gold, NAS100 and major FX pairs all respect previous-day quarter levels well because they're liquid and pool stops at obvious highs and lows.
Can quarter levels fail?
Yes — price can blow through a level, especially on news or strong trend days. That's why you place a stop beyond the range extreme and risk a fixed, small percentage.
Are quarter levels good for beginners?
They're one of the most beginner-friendly frameworks because the levels are objective. Start by only taking 0.25/0.75 reactions with the trend, and use the planner above to filter them.