Video 15 A, B, C, D, E, F, G and H: Breakouts

Question 1

A Breakout is _________________________

Answer 1

A Move beyond any support or resistance

Question 2

The minimum goal after a strong breakout is…..

Answer 2

2nd Leg Up

Question 3

The single most important concept in trading is ________________.

Answer 3

Will a breakout succeed or fail?

Question 4

Whenever you see a failed breakout, you have to be thinking….

Answer 4

Is the failure going to lead to an opposite trend, or or simply lead to a pullback (like a bull flag) and the trend will resume.

Question 5

The first pullback after a strong bull breakout, there’s a high probability that there will probably be _________________

Answer 5

At least a small second leg Up. If the breakout is strong enough, there may even be a measured move up form the bottom of the breakout to the close of the last strong bar.

Secondly, a Spike, then pullback, then channel leads to a Wedge top. This is a Good sell signal Bar. Good reward:risk for a reversal down to test the bottom of the channel. Afterwards, it ends up in a trading range.

Question 6

True or False: Most Buy or Sell climaxes are followed by Trading Ranges (TR)

Answer 6

True

Question 7

Most exhaustions do not lead to an opposite trend. They lead to an end of the …

Answer 7

Current Trend