#BreakoutTradingStrategy

**Breakout trading** is a strategy that involves entering a trade when the price breaks above a resistance level or below a support level with increased volume. The idea is to catch the beginning of a strong trend as the price "breaks out" of a defined range. Traders use chart patterns like triangles, flags, or rectangles to identify potential breakout zones. Confirmation often comes from high trading volume. Stop-loss orders are usually placed just below the breakout point (for long positions) to manage risk. This strategy works best in volatile markets and requires quick execution and solid technical analysis skills.