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Old 04-09-2007, 11:50 AM
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Re: How do you determine a breakout from a false breakout?

normally, when you enter into a breakout you are risking. Why? because you are buying expensive. so, buy cheap and sell expensive. wait for pullbacks, as easy at this. another point to value if a breakout is reliable or not is to watch volume bars. for example, if the volume bar is quite big at the time price is breaking out, it is possible that buyers are getting to the end of that trend and price is about to reversal.

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