80% Rule (2024)

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Definition of '80% Rule'

The 80% Rule is a Market Profile concept and strategy.

If the market opens (or moves outside of the value area ) and then moves back into the value area for two consecutive 30-min-bars, then the 80% rule states that there is a high probability of completely filling the value area.

The rule can be misleading, in that you don't have to see both 30 min bars Close within value. The first bar can enter and close within the Value Area and the second bar opens within the value area we have met the rule criteria.

Testing on the E-mini S&P500 has shown that this rule should probably be called the 60% rule and not the 80% because it only works 60% of the time.


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80% Rule (2024)

FAQs

What is the 80 percent rule? ›

The 80% rule was created to help companies determine if they have been unwittingly discriminatory in their hiring process. The rule states that companies should be hiring protected groups at a rate that is at least 80% of that of white men.

What is the 80 20 rule for good enough? ›

The basic idea is 80% of effects come from 20% of causes. So in theory if you focus 20% of resources correctly, you can get 80% of the results you need. You reach 'good enough' and can be much more cost-effective, instead of using 80% more resources stretching to a 'perfect' 100%.

What is the 80 percent rule for productivity? ›

Productivity. You can use the 80/20 rule to prioritize the tasks that you need to get done during the day. The idea is that out of your entire task list, completing 20% of those tasks will result in 80% of the impact you can create for that day.

What is the 80 20 rule in studying? ›

The Pareto Principle, often called the 80/20 rule, is the broad observation that approximately 80% of outcomes or results come from about 20% of your inputs or effort. Therefore you should concentrate on areas where you can get 'big wins' with comparatively little effort.

What is an example of the 80 rule? ›

To set goals with the 80-20 rule, you primarily establish that 20% of your efforts/tasks will result in 80% of your results. For example, at work, 20% of the effort you put into your job will result in 80% of your tasks being completed/successful.

What is the 80-20 rule in dating? ›

However, keep the 80/20 rule in mind: as long as you find someone who meets around 80% of your needs, then you can do the other 20% by yourself. This will broaden your horizons and can help you find a good match for you.

What is the 80-20 rule in leadership? ›

Known as the Pareto Principle, this rule explains that 20 percent of your activities will account for 80 percent of your results. That being the case, leaders should change the way they set goals forever if they want to transform their teams and performance.

Is the 80-20 rule universal? ›

Pareto's 80/20 Rule

This “universal truth” about the imbalance of inputs and outputs is what became known as the Pareto principle, or the 80/20 rule. While it doesn't always come to be an exact 80/20 ratio, this imbalance is often seen in various business cases: 20% of the sales reps generate 80% of total sales.

What is the 80 20 rule in motivation? ›

The 80–20 rule states that the minority of causes have the most impact, whereas the majority have the least. The values of 80 percent and 20 percent aren't exact values—it could be 70–30 or even 95–5. In other words, a few of the things we do have a huge impact while most of the things we do have very little impact.

What is the 85% productivity rule? ›

In the sprinting world, Lewis's style became known as the 85% rule. The idea is that instead of applying maximum effort, allow yourself to remain loose. This approach frees up awareness, frees up presence, and frees up power—all the qualities we often associate with success. And the 85% rule can help in life, too.

What is the 70 30 productivity rule? ›

The 70-30 Principle is about defaulting to action but leaving 30 percent for space to optimize the things you do. This is actually a lesson that hit me really hard a few months ago. Despite being aware of the positive impact of decluttering physical and other things in my life, it still found a way to sneak up on me.

What is the 1 3 5 rule of productivity? ›

Create Your 1-3-5 List. Select one major task that aligns with your overarching goals or objectives for the day. Then, identify three medium tasks that require dedicated focus but are not as impactful as the major task. Finally, pick five small tasks that can be completed quickly to maintain momentum and productivity.

What is 333 productivity rule? ›

At its core, the 3-3-3 method is elegantly straightforward: allocate three essential tasks each morning, three more for the afternoon, and finally, leave room for three additional tasks to tackle at your own discretion.

What is the 30 minute productivity rule? ›

Understanding the 30-30 Rule

In its essence, it involves dedicating 30 minutes of focused work or activity followed by a 30-minute break. This cycle is aimed at optimizing concentration and productivity by allowing short, regular breaks within the work schedule.

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