how to trade a structure breakout?

Mar 5, 2019

hey traders,

on aud usd we have a perfect example of a potential breakout trade.

on a 4h chart we see multiple tests of 0.707 level of support,
it is a significant level of structure, and bearish violation of it will trigger the selling reaction of the market participants.

to catch this potential breakout,
I suggest you focus on a descending triangle on 1h chart.
we see how the support line of a triangle perfectly matches with the support level that we have identified on a higher timeframe.
so bearish violation of it is a perfect call to sell the market.

3 next levels of support to focus on:

0.702
0.698
0.694

it could be your targets for selling this triangle.

however, I don't predict that the market will go lower,
from a current perspective, we can also see a bullish breakout.

I just gave you a set of actions for a bearish breakout.

good luck!

Mar 6, 2019

Note

Great bearish breakout
The market almost hit the first target

Mar 6, 2019

Note

Hit target 1