#BreakoutTradingStrategy

1. Entry on Price Breaks – Traders enter positions when price breaks above resistance or below support levels.

2. High Volume Confirmation – Strong breakouts are often confirmed by increased trading volume.

3. Stop-Loss Placement – Stops are usually set just below resistance (for bullish) or above support (for bearish) to manage risk.

4. Volatility is Key – Breakout strategies thrive in volatile markets with sharp price movements.

5. False Breakouts Risk – Not all breakouts sustain; using confirmation tools like RSI or MACD helps filter fake moves.