Breakout Strategy 101
1st Identify key level, support and resistance level that includes diagonal trend lines which can also act as support and resistance. To validate SnR atleast it has 3 or more touches. You can use this strategy using all others chart patterns such as Head and Shoulder, Cup and handle, Ranging market and other patterns.
2nd You need PATIENCE to wait for the breakout, common mistake of most but not all will entry early and does not anticipate fakeouts which invalidate the concept of breakout
3rd If breakout happen you need to consider these:
-Check volume if increase
-avoid wicked candle breakout, if wicked is longer than the body of the breakout candle its not healthy as most likely than not it will go against the breakout. You can consider it if the wicked is not more than 25% of the breakout candle body. Wait for a momentum candle (video shared on this channel, just scroll up)
-always identify exit plan and SL
4th Try to understand Smart Money Concept and Price Action
5th You can Read these 2 ebooks that I just uploaded plus you can scroll up to watch the 4 shared videos that I watch repeatedly.
-Best Breakout Trading Strategy (Must Know)
-How to Find Support and Resistance Levels (Easily)
-Best Trend Lines Trading Strategy (Advance)
-Ultimate Chart Patterns Trading Course (Expert Instantly)
I will share a sample of BTC Breakout at 1hr plus using measurement for targets aside from previous resistance on the left market.
As you can see on the breakout structure of BTC it broke the resistance/neckline/horizontal line at roughly 39238. So aside from previous resistance level on the left side of the chart (GREEN LINE) you can plot a vertical line from the key level on the very bottom of the candle up to the resistance level , copy and pasting it on the breakout area (ORANGE) you can also compute it. Here is the simple MATH for these example and again these or only estimate prices. As you can see the very bottom of the ORANCE vertical line was at 37227 up to resistance level price at 39238. Just simply subtract 39237 to 37227 and the difference, add it to 39238 which you get the same result from those measurement ORANGE lines bottom and up which was 41249.
-Master KaLbo