Breakout Types 📊:
Breakouts occur when price moves beyond a defined support or resistance level, signaling potential strong momentum. There are several breakout types traders watch for:
1. Horizontal Breakout – Price breaks a flat support or resistance line, often leading to a new trend.
2. Trendline Breakout – Price crosses a sloping trendline, indicating a trend reversal or continuation.
3. Volatility Breakout – Sudden expansion in price range, showing strong market interest.
4. False Breakout (Fakeout) – Price briefly moves beyond a level but quickly reverses, trapping traders.
Recognizing breakout types helps traders enter at the right time and manage risk effectively. Confirmation with volume and other indicators boosts success chances. Always watch for potential fakeouts!