CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Displaced chart

This tool detects outside bars (or candles) and their subsequent inside bar(s). An outside bar is a bar which (a) closes outside the high-low range of the previous bar and which (b) is followed by a bar which closes within the potential outside bar’s high-low range. German trader Michael Voigt uses outside and inside bars frequently, including for placing some of his stops.

In this example the outside bar is number 1. Number 1 is an outside bar because (a) it closes outside the high-low of range of the previous bar, and because (b) number 2 closes within the high-low range of number 1 (at the same time making bar 2 the first inside bar). In total there are 5 inside bars (numbers 2 to 6).