Continuation Breakouts

  1. Market Breathers:

    • After a significant move in one direction, the market often takes a pause.

    • Buyers and sellers step back to assess their next moves.

    • This results in a period of consolidation, where price moves within a range.

  1. Continuation Breakouts:

    • These occur when traders push the price in the same direction as the prevailing trend.

    • It’s like catching a second wind after a brief rest.

    • Continuation breakouts align with the longer-term trend.

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