How to Dodge False Breakouts Like a Pro

Three tips for traders…

‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   Good Morning! You know that feeling when a stock seems ready to blast off, but suddenly it's like, "Wait, what happened?"    The stock broke out above a key level with what looked like nothing but blue skies above…  You might've thought, there's no telling how high this can go…  But then it's like it hits a brick wall and reverses … Not only going back to your entry but also breaking through your stop.    It was a failed breakout. And you're left wondering if you did something wrong … Or if the setup just didn't work…   To help you decipher between winning breakout plays and those that fail, I'm sharing 3 game-changing insights with you to help you avoid frustrating, false breakouts.  Get five of my tips to avoid fake-out breakouts here. Sponsored Watch This Before Feb. 1st Did you miss this?   Tim Bohen just hosted a special Artificial Super Intelligence Summit to reveal this groundbreaking ASI technology for the first time. If you missed the big reveal, click below to watch the limited time replay: 3 Signs Of A Fake-Out Breakout If a stock looks set for a breakout, but fizzled out, it might have some or all of these warning signs…   Low Volume    Before you buy a breakout, check the stock's daily volume. How much volume is it trading compared to its 60-day average?   And when the stock breaks the breakout level intraday — does volume come in?    If volume doesn't come in when the stock breaks a key level — it means nobody cares.    Volume should increase as buyers come in to join the upward momentum, and short sellers buy to cover to exit their positions.    Remember, without enough volume, a stock won't soar, even if short sellers are in the mix.   Large Float    I like low-float stocks because they have more potential to have explosive moves.    The float is the supply. And when there's limited supply with high demand, the price can increase substantially.    On the other hand, a stock with a large float needs even more volume to make it move.    So don't expect a large float stock to have a volatile move at a breakout level — unless it has impressive news and enough volume to sustain the move.    Otherwise, it's more likely to fail at a resistance level as short sellers pressure it and have that key level as their risk.  Whole Dollar Level Overhead  If you're looking to jump in a stock that's breaking out, pay attention to where whole dollar levels are…    These are psychological levels that become important because traders believe they're important. They become self-fulfilling prophecies…    So if you buy a breakout over $5.80, watch for how the stock reacts at $6 and be ready to adapt to price action.    It could fail if there are a lot of sellers at a whole dollar level.    The lesson here: If you're a newer trader, patience is key when looking for breakouts.    Make sure the stock you're watching checks the boxes.    Wait for a break move followed by consolidation or a dip to the breakout level. If it can hold the breakout level on a pullback, it can be added confirmation that the stock can go higher.    Being patient might mean you miss the odd trade where a stock explodes above a breakout level without a dip. But you're not going to catch every trade.    What you're trying to do is stack odds in your favor and cut out getting caught in fake-out breakouts.    That's a wrap, for today! Catch you on the winning side of the trade.   Tim Bohen Lead Trainer, StocksToTrade Sponsored It's Time to Stop Missing Out If you're not using Ben Sturgill's Spyder Scanner, you're missing out on huge trade opportunities every week.   Sound familiar? Well, it's time to STOP MISSING OUT!   This SATURDAY, January 20 at 6pm EST, my colleague, Danny Phee is hosting an URGENT live briefing, breaking down the biggest 'smart money' bets in the options market this week. CLICK HERE TO RESERVE YOUR SPOT NOW! Sponsored ACCESS NOW: Click to activate these complimentary membership gifts and receive daily market intel. To The Moon Report Weekly Stock & Crypto Watchlist   Recommended Membership Gifts   Click Here to Unsubscribe   (As an Amazon Associate, we earn from qualifying purchases.)   13809 Research Boulevard, Suite 500, Austin, TX 78750   **Tim Bohen teaches skills others have used to make money. Any results displayed are extraordinary and are not typical and will vary from person to person. For more info read our Earning Claims Disclosure   About: Making money trading stocks takes time, dedication, and hard work. My goal is to teach you how I have succeeded in the market, but you may not achieve my results. Remember, there are risks involved with investing, including the potential loss of money.   We are strongly committed to protecting your privacy and providing a safe & high-quality online experience for all of our visitors. We understand that you care about how the information you provide to us is used and shared. We have developed a Privacy Policy to inform you of our policies regarding the collection, use, and disclosure of information we receive from users of our website.   Our Privacy Policy, along with our Term & Conditions, governs your use of this site. By using our site, or by accepting the Terms of Use (via opt-in, checkbox, pop-up, or clicking an email link confirming the same), you agree to be bound by our Terms & Conditions and our Privacy Policy.   If you have provided personal, billing, or other voluntarily provided information, you may access, review, and make changes to it via instructions found on the Website or by replying to this email. To manage your receipt of marketing and non-transactional communications, you may unsubscribe by clicking the "unsubscribe" link located on the bottom of any marketing email. Emails related to the purchase or delivery of orders are provided automatically – Customers are not able to opt out of transactional emails. We will try to accommodate any requests related to the management of Personal Information in a timely manner. However, it is not always possible to completely remove or modify information in our databases (for example, if we have a legal obligation to keep it for certain timeframes, for example).   If you have any questions, simply reply to this email or visit our website to view our official policies.   Copyright © StocksToTrade.com