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Day TradingUpdated daily after close · as of 2026-06-24

Range Efficiency: Is QQQ Trending or Chopping?

Range efficiency is |close − open| ÷ (high − low) — how much of the day's full range the net move actually captured. High readings mean clean, directional trend days; low readings mean whippy chop that covered ground but went nowhere. The 50-day average is a trend-vs-chop regime gauge. QQQ since 1999.

Today's reading

As of market close on June 24, 2026, QQQ's 50-day range efficiency is 47.4% — the 51th percentile of its history, a directional tape. That means the net open-to-close move is capturing about 47% of each day's full high-to-low range, versus a long-run average of 47.4% since 1999.

Source
QQQ daily OHLC from our price database (1999–present)
Methodology
Range efficiency = |close−open|/(high−low) (%) per day, 50-day SMA; percentile vs full history
Updates
Daily after US market close (~1pm PT)Last: 2026-06-24
Current range efficiency (50-day)
47.4%
Directional · 51th pct
All-time average
47.4%
6,864 sessions since 1999
What it means
~47% of the daily range is being captured by the open→close move. Higher = cleaner trends.
01

Range efficiency over time

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50-day range efficiency 50% (half the range) QQQ price (right, log)
02

Range efficiency by weekday

DayAvg range efficiencySamples
Monday47.0%1288
Tuesday46.8%1409
Wednesday47.3%1409
Thursday47.7%1382
Friday48.0%1376

How Range Efficiency Works

  1. 1
    Measure the net move against the full range
    For each QQQ session, range efficiency = |close − open| ÷ (high − low) × 100. The numerator is how far price actually got from open to close; the denominator is the entire distance it travelled intraday. The ratio is the fraction of the day's motion that turned into net progress.
  2. 2
    Read it as trend vs chop
    Near 100% means an efficient trend day — price opened, ran one direction, and closed at the extreme. Near 0% means a choppy, mean-reverting day that swung around and closed near where it opened. Most days land in between; the long-run average is roughly half.
  3. 3
    Smooth with a 50-day average
    The 50-day moving average of range efficiency turns the noisy daily series into a regime read: a rising line means the tape is producing cleaner trends; a falling line means more chop and whipsaw.
  4. 4
    Rank today against history
    We percentile-rank the current 50-day reading against the full 1999-present range and label the regime — Very choppy, Choppy, Directional, or Strongly trending — so you know whether trend-following or fading is favored right now.

Who Uses Range Efficiency

Trend / Breakout Traders
Your edge lives in efficient days. When range efficiency is high and rising, breakouts follow through; when it is low, breakouts trap and fade.
Mean-Reversion Traders
The mirror image: low range efficiency (choppy regime) is when fading extremes and selling rallies / buying dips into the range pays best.
Day Traders
Set expectations before the open. A strongly-trending regime rewards holding winners; a choppy regime rewards quick profit-taking and tight targets.
Systematic Traders
Use it as a regime switch — route capital to momentum models when efficiency is high and to mean-reversion models when it is low.

Pro Tips

01
Efficiency ≠ size
A day can have a huge range but low efficiency (lots of motion, no net progress) or a small range with high efficiency (a clean drift). Pair this with Intraday Momentum: high IMI plus high efficiency is the textbook trend day.
02
Watch the 50% line
The long-run average sits near 50%. Sustained readings above it mark trend-friendly regimes; sustained readings below it mark the chop that grinds down breakout strategies.
03
Regimes persist
Range efficiency is autocorrelated — trending stretches and choppy stretches both cluster. A turn in the 50-day line tends to mark a real change in character, not a one-day fluke.
04
Direction-agnostic
A clean down day is just as "efficient" as a clean up day. This measures how directional the tape is, not which way — combine it with a directional read.

Common Issues & Solutions

Why QQQ instead of SPY?
QQQ (the Nasdaq-100) is the higher-beta, more day-trader-relevant index, with sharper trend-and-chop swings than SPY. History runs back to QQQ's 1999 inception.
Is this the same as the Choppiness Index?
It captures the same idea (trend vs chop) but is simpler and more intuitive: a single-day ratio of net move to total range, then smoothed. The classic Choppiness Index uses a log of summed true ranges over a lookback; range efficiency reads directly as "percent of the range the move captured."
Why does it average around 50%?
On a typical session the open-to-close move covers about half the high-to-low range — there is usually some back-and-forth around the net drift. Readings persistently above ~55% are genuinely trendy; persistently below ~45% are genuinely choppy.
Does a high reading mean the market is going up?
No — it is direction-agnostic. High range efficiency means clean directional days in either direction. It tells you trend-following is working, not which way the trend points.

Frequently Asked Questions

What is range efficiency?
For each day, |close − open| ÷ (high − low) × 100 — the share of the session's full high-to-low range that the net open-to-close move actually captured. It measures how directional ("efficient") the day was: near 100% is a clean trend day, near 0% is a choppy day that went nowhere.
What is a high vs low reading?
We percentile-rank the 50-day average against the full 1999-present history. Top quartile = Strongly trending (clean directional days, momentum-friendly); bottom quartile = Very choppy (whipsaw, mean-reversion-friendly). The long-run average is around 50%.
How is it different from Intraday Momentum?
Intraday Momentum measures the size of the open-to-close move; range efficiency measures how directional that move was relative to the day's total range. A big move with low efficiency means lots of chop; the cleanest trend days are large and efficient at once.
Is this a buy or sell signal?
No. It is a regime gauge, not a directional signal. It tells you whether the environment favors trend-following (high efficiency) or mean-reversion (low efficiency), which way you still have to decide from a directional read.
How often is it updated?
Daily after the US market close, from QQQ's open, high, low and close. The 50-day average and percentile reflect data through the most recent session.

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Last updated: 2026-06-24