It took me a bit to understand also.
An IB will have a shorter high (including shadow), AND a higher low (including shadow) than the bar to the left of it. If you don't understand shadow's then you should read a tutorial on how to read candlestick charts.
The highs and lows can also be equal.
Visualize sticking the bar on the right INSIDE the bar to the left. If it fits without it's high's and low's sticking out then it's an inside bar.
Just look at the pictures in the thread, most of them have IB / OB setups circled in their charts. Pretty easy to spot once you get it.
Last edited by daudi81; 05-22-2007 at 09:57 PM.
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