Comments please on trading recently volatile, high ranging NYSE stocks with significant increase in volume based on breakouts/breakdowns above or below previous day's closing price. For example: On 1/18 - MMM: opened below previous close price, once it broke through it ripped for several points. 1/18 - SPW: Not as smooth as MMM as it straddled the previous close and broke down early, but once it did break out with strength above previous close it too went up big. 1/18 - DNA: Opened above previous close and stayed there most of the day; once it broke down through the previous close price a little before 2 PM it had a significant drop. I'm a newbie and am asking the experienced traders here if this is a viable strategy - placing buy stops and sell stops above and below the previous close price (of course not placing the stop too close in order to confirm breakouts/breakdowns and avoid wiggles). Do any of you do this? Do you use other indicators, moving averages, etc.? Do you consider this low-risk or high-risk? What other variables would you consider? I ask because I've noticed that recently volatile, high-ranging stocks seem to ignore the futures and normal indicators and have a life of their own (especially if they're hitting new highs/lows). Stocks like LEN & RYL in the past month have exhibited patterns that would have been profitable based on using the previous close as support/resistance. Any comments or suggestions would be appreciated.