#BreakoutTradingStrategy Breakout trading targets assets pushing beyond key support or resistance levels, signaling potential momentum shifts. Successful breakouts require:
- **Confirmation:** Validate breakouts with rising volume – low-volume breaks often fail.
- **Key Levels:** Identify consolidation patterns (channels, triangles, ranges) where price compresses before breaking.
- **Entry/Exit:** Enter near breakout points; set stop-losses below support (long) or above resistance (short).
- **False Breakouts:** Watch for ‘wicks’ piercing levels without closing beyond them – patience prevents traps.