#BreakoutTradingStrategy

**Breakout trading** is a strategy used by traders to enter a position when the price of an asset moves outside a defined support or resistance level with increased volume. The idea is to catch strong market moves as they begin. When a price "breaks out" above resistance, traders may buy expecting further upward momentum. If it breaks below support, they may sell or short the asset. Breakout traders often set stop-loss orders just below the breakout point to limit losses if the move fails. This strategy works best in markets with strong trends or during important news or events.