Breakout
When price moves decisively beyond an established level or range — a trade setup that also generates costly fakes.
A breakout is a move where price pushes decisively through a support or resistance level or out of a trading range, often on rising volume, and is read as the potential start of a new directional move. Breakout trading tries to enter as the move begins.
The recurring hazard is the “fakeout” or false breakout: price breaks a level, lures in breakout traders, then reverses — sometimes engineered as a liquidity grab that triggers stops before the real move goes the other way. Volume confirmation and waiting for a retest are common (imperfect) filters. In crypto’s manipulable, thin markets, false breakouts are especially common.