#BreakoutTradingStrategy

The Breakout Trading strategy is based on identifying key levels of support or resistance on a price chart and trading when the price breaks those levels with strength. Traders who apply this technique seek to take advantage of impulsive movements that often follow these breakouts, accompanied by an increase in volume. A "breakout" can indicate the beginning of a new trend. This strategy requires confirmations, such as solid candles or high volume, to avoid false breakouts. It is common in volatile markets and works best in combination with tools like moving averages.