#BreakoutTradingStrategy

Breakout Trading Strategy focuses on entering trades when an asset’s price moves beyond a defined support or resistance level with increased volume. The idea is to catch momentum early as the price “breaks out” into a new trend. Traders often use chart patterns—like triangles, rectangles, or flags—to identify potential breakout zones. A confirmed breakout is usually accompanied by a surge in volume, signaling strong interest. Stop-loss orders are placed below the breakout point to manage risk in case of a false breakout. This strategy requires discipline, quick execution, and clear rules to avoid getting trapped in fake moves or whipsaws.