#BreakoutTradingStrategy **Breakout Trading Strategy**

Seizes profit opportunities when the price breaks a major support or resistance level, indicating the beginning of a new trend.

### **How to apply it?**

1. **Identify critical levels**:

- Draw support/resistance lines on the daily or hourly chart.

2. **Wait for the breakout with confirmation**:

- Ensure the price closes **above resistance** (to buy) or **below support** (to sell).

- Look for increased volume (+30% above the average) to support the breakout movement.

3. **Enter the trade**:

- Buy immediately upon breaking resistance (or sell upon breaking support).

4. **Set a stop loss**:

- Place it just below the breakout point (for buying) or above it (for selling).

### **Critical tips**:

- Avoid breakouts during **major news** (causing random fluctuations).

- Use indicators like **Volume Profile** or **MACD** to confirm the strength of the movement.

- Beware of "false breakouts" where the price returns behind the level.

> Summary:

> Breakout is a powerful strategy but requires precision in identifying levels and confirming volume. Practice on a demo account first!

#Day_Trading #Technical_Analysis #Risk_Management