Great recommendation and opportunity. Enter a buy deal on this pair now and win 50 points.
How to profit from trading using breakouts (Breakout Trading) Quick profit
1. Required settings
Time: Choose a short time frame such as 15 minutes or 30 minutes.
Tools: Trading platform that supports technical analysis.
Indicators: You don't need indicators, but you can use support and resistance lines.
2. Strategy steps
Step 1: Determine the trading range.
Watch price action to identify key support and resistance levels.
Use previous periods to identify prices where the bounce (range) has repeated.
Step 2: Wait for the breakout
Watch prices as they approach resistance (buy) or support (sell) levels.
If the resistance level is broken strongly, it is a signal to buy, and if the support level is broken, it is a signal to sell.
Step 3: Confirm the hack
Make sure the breakout is accompanied by an increase in trading volume, which enhances the reliability of the breakout.
You can also look at a candlestick pattern (such as a large candle) to confirm the breakout.
Step 4: Manage the deal
Entry point: Enter the trade when the resistance or support level is broken.
Stop Loss: Place a stop loss order 1-2% below the breakout point (for a buy) or above the breakout point (for a sell) to reduce risk.
Take Profit: Use a 1:2 risk/reward ratio, or target the next resistance (to buy) or support (to sell) levels.
Step 5: Monitor the deal
Watch the trade closely. If prices start to decline, be prepared to close the trade.
3. Practical example
Range Determination: If the asset price is trading between 50 and 55.
Breakout: When the price rises above 55 with increasing volume:
Enter the trade at 55.5.
Place stop loss at 54.
Target take profit at 58.
conclusion
Breakout strategy is based on price action analysis and quick action, making it ideal for making quick profits. Always remember the importance of risk management and practicing the strategy in a demo environment before using it for real.