Range edge

The upper or lower boundary of a trading range — where price has repeatedly turned back.

Market Structurerange edgesrange boundaryedge of the rangerange high

Full explanation

The range edge is the boundary of a sideways market: the high that price keeps failing to clear, or the low it keeps holding above. The upper edge acts as resistance, the lower edge acts as support.

Edges are decision points. Price arriving at an edge produces one of two outcomes: a rejection back into the range, or a break beyond it. Both are tradeable, but they require opposite actions, which is why waiting for evidence matters more here than anywhere else on the chart.

Expect overshoots. Price frequently pokes a little beyond an edge, triggers stops, and snaps back. This is why a candle close beyond the edge is a stronger signal than a wick through it.

Why traders watch it

Most range strategies live or die at the edges. Entering in the middle of a range gives poor reward relative to risk, while entering at an edge provides a nearby invalidation point.

When the Trading Plan describes waiting for a reaction at "a clearly defined range edge", it means exactly this: let price show whether the boundary holds or fails before committing.

Trading considerations

  • Wait for the close, not the spike, before treating an edge as broken.
  • A failed break at an edge often produces a fast move back to the opposite edge.
  • Place invalidation beyond the edge zone, not exactly on the line.

Educational guidance only — never a trading signal or recommendation.

Related indicators