Breakouts are popular among forex traders.
It makes sense, right?
When the price finally “breaks” out of that support or resistance level, one would expect the price to keep moving in the same direction as the break.
There must have been enough momentum building up in order for the price to have broken out of the level, right?
It’s time to hop aboard that train. It’s all smooth sailing now. All you have to do is just wait for it…
Yes, wait for it…
Wait for it… Just a few more moments… To see price inch in one direction… Then suddenly move miles in the opposite direction!
Huh?!? What the heck?! What happened to “the bread and butter and the end of world hunger” strategy?
End of story: it left you eating ketchup packets and crackers like Tom Hanks in The Terminal.