#BreakoutTradingStrategy Breakout trading focuses on identifying key support or resistance levels and entering trades when the price “breaks out” of these zones. A breakout above resistance suggests a potential bullish trend, while a drop below support can indicate a bearish move. This strategy depends on strong volume confirmation, as higher volume usually confirms the strength of a breakout. Traders often use patterns like triangles, flags, or consolidation ranges to identify breakout points. Proper risk management, like setting stop-loss orders below support (or above resistance in short trades), is essential. It’s a powerful strategy but requires discipline and sharp technical analysis skills.