HIGH/LOW Moving Average Range

Discover a unique moving average strategy using highs and lows for entry signals. Focuses on price breaking above the high MA. Ideal for stocks.

Published · Updated · Methodology: Technical Indicators

Part of: Moving Average Strategies

  • Methodology: Technical Indicators
  • Content type: strategy
  • Timeframes: Daily (implied by '1-month timeframe' for 20-period MA), Weekly (for sector rotation analysis)
  • Markets: Stocks, Options (mentioned as a potential trade type, but no specific strategy)

Source video

Decoded from: Using a Simple HIGH/LOW Moving Average Range SCAN for Pullback Entries | Swing Trading by Trader Talks: Schwab Coaching Webcasts — watch the original

Strategy overview

A moving average smooths a series of prices into a single reference line, and most strategies stop there — one average, drawn on closes. This entry works from a video that changes what gets averaged: instead of a line through closing prices, the highs and the lows are smoothed separately, producing an upper and a lower boundary with price living between them. That pair is the "range" in the title, and it turns the moving average from a directional signal into a zone — a way of asking where price currently sits relative to its own recent extremes, which is exactly the question a pullback trader is trying to answer.

The source is "Using a Simple HIGH/LOW Moving Average Range SCAN for Pullback Entries | Swing Trading" from Trader Talks: Schwab Coaching Webcasts — a brokerage's education desk rather than an individual trader's channel, which shows in how the material is framed. The operative word in the title is SCAN: the range is presented as a screening tool that narrows a large universe down to names worth charting, not as a trigger that fires an order. The horizon is swing trading, and the filed timeframes are two-tier in the classic top-down manner — a weekly view used for sector rotation to decide where to look, and daily charts where the scan itself runs.

Being honest about the limits: no mechanical rules were decoded from this video, and no instrument, stock universe, historical period or dataset is stated. What it offers is a construction and a workflow — average the highs and lows rather than the closes, use the resulting range as a filter, and let a broader weekly read decide which corner of the market the filter points at. Entry timing, exits and risk are not defined here; a scan hands you a shortlist, and the rest of the decision remains yours.

Topics

high low moving average · moving average strategy · technical indicators · stocks trading strategy · daily trading strategy · weekly trading strategy · stock market strategy · range trading strategy · pine script · tradingview strategy · trading strategy · stock range strategy

Frequently asked questions

What is a high/low moving average range?

It is a pair of moving averages applied to session highs and session lows separately, rather than a single average of closing prices. The two smoothed lines form an upper and a lower boundary, and the space between them — the range — is used as a reference zone for where price sits relative to its own recent extremes.

How does a moving average range relate to pullback entries?

In a pullback approach, a trend is already assumed and the trader is waiting for price to retrace into a reference area before considering a position. A smoothed high/low range gives that area a defined shape instead of a single line. The source webcast presents it as a filter for finding such candidates; it does not lay out mechanical entry conditions, and none were decoded here.

Why pair a weekly view with a daily scan?

It is a top-down structure: the weekly view is used for sector rotation — deciding which parts of the market deserve attention — while the daily charts are where the scan actually runs and candidates surface. The higher timeframe sets the context; the lower one does the searching.

Is a scan the same thing as a trading strategy?

No. A scan is a candidate generator: it reduces a large universe to a handful of names that meet a structural condition, which then still need a chart read, an entry rule, an exit and position sizing. Strategy Decoder catalogs the structure of approaches like this one from their video sources so you can see what a setup is built on before testing it yourself.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

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