There are two types of breakouts for #突破交易策略 — upward and downward:

An upward breakout refers to the stock price breaking above the resistance line, initiating an increase.

A downward breakout refers to the stock price breaking below the support line, initiating a decrease.

The resistance line and support line can be interchanged:

Once the resistance line is broken, it will become the support line.

Once the support line is broken, it will become the resistance line.

To determine if the breakout is valid, whether it is a real breakout or a false breakout, you can refer to:

1) Closing price: The closing price must stand above the resistance line (a shadow line piercing does not count) and remain stable for three days; if it cannot remain stable for three days, the breakout is invalid.

2) Price: From the breakout position, it should rise at least 3%.

3) Time: After standing above the resistance line, if the stock price returns below the resistance line, it should not exceed three days; exceeding three days indicates that the breakout is invalid and needs to be confirmed again.