Strategies6 min read
Breakout and Retest Strategy: High-Probability Entries
Breakouts are risky. But breakouts that retest the broken level are high-probability. Learn the strategy. Wait for the retest, not the break — entries with.
The Setup
(1) Price breaks above resistance with volume. (2) Price pulls back to test the broken level from above. (3) Bullish candle at the level. (4) Enter long.
Why It Works
The retest confirms the breakout is real. The broken resistance becomes new support. False breakouts don't retest — they just keep falling.
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70-80% of retail investor accounts lose money when trading CFDs. Backtesting does not guarantee future results. Always consider whether you can afford the potential loss of your capital.