#BreakoutTradingStrategy The breakout trading strategy focuses on entering a trade when the price breaks above resistance or below support levels with strong volume. This often signals the start of a new trend. Breakouts can be identified using technical tools like trendlines, Bollinger Bands, or consolidation patterns such as triangles and flags. A key rule is to wait for confirmation—false breakouts are common traps. Successful breakout traders use stop-loss orders just below support (in a bullish breakout) to manage risk. Breakouts during high-impact news events can be explosive, offering high reward potential but also high volatility. Patience, timing, and discipline are essential. When executed well, breakout strategies can lead to powerful entries early in major price movements.