What Is the High-Low Method?

The high-low technique is a means of attempting to distinguish fixed and variable expenses given a limited quantity of data in cost accounting. The high-low technique compares the total expenses at each level of activity, starting with the highest and ending with the lowest.
If the variable cost is a fixed charge per unit and the fixed costs stay constant, the fixed and variable costs may be determined by solving the system of equations. When utilizing the High-Low Method, however, it’s important to be cautious since the results can vary based on the distribution of values between the highest and lowest dollar amounts or quantities.

This is a very popular Intraday Open High Low Strategy with pretty good Accuracy. In this strategy, Buy signal is generated when a Stock or Index has same value for Open and Low, while Sell signal is generated when it has same value for Open and High.

If you want to trade using this strategy in intraday. You have to trade in Big quantity and for small target. You are going to need to make quick entry and quick exit, then only you can make money in it. Using this strategy is very hard to manage risk reward ratio.