Breakout Trading: Powerful Strategy to Capture Early Momentum!
Breakout trading is one of my favorite strategies in the crypto world. The goal? To capture significant movements right after the price breaks through important support/resistance levels.
🔍 What I Do:
🔸 Identify Breakout Zones
Use strong resistance lines (on H1 or H4 time frames)
Pay attention to volume — breakout without volume = trap!
🔸 Wait for Confirmation
Don’t FOMO! Wait for the candle to close above resistance
Use additional indicators like RSI or Bollinger Bands
🔸 Execute Entry
Enter after confirmation
Set stop loss slightly below the breakout area
Target profit = risk : reward minimum 1:2
📊 Personal Tips:
The best breakouts usually occur after a long consolidation phase. Waiting patiently is better than getting trapped in a fake breakout.
🔥 “Don’t chase the pump, trade the breakout!”