#BreakoutTradingStrategy Breakout trading is a popular strategy where traders aim to profit from significant price movements that occur when an asset's price "breaks out" of a defined trading range. This typically happens when the price moves beyond established support or resistance levels, often accompanied by increased trading volume.

The core idea is to enter a trade as soon as the breakout is confirmed, riding the momentum in the direction of the break. Traders often look for patterns like horizontal consolidations, triangles, or trendline breaches. Patience is crucial to avoid "false breakouts" – where the price briefly crosses a level before reversing. Risk management, including setting stop-loss orders, is vital to protect against unexpected reversals.