🎯 Break & Retest Strategy (Breaking and Re-testing)

This strategy is used by top traders because it is simple and very effective

And it works on any timeframe (15m – 1H – 4H – Daily)

📌 The idea of the strategy:

1️⃣ The price breaks a strong support or resistance area

2️⃣ It returns to test the same area

3️⃣ If it fails to go back above/below it → Enter the trade

This means do not enter with the break as soon as it happens

Wait for the re-test ← And here is the real profit 🎯

✔️ Entry conditions (Buy)

The price clearly breaks a strong resistance

It returns to touch the resistance that became support

A bullish reversal candle forms at the re-test

Volume ↑ higher than usual

⬅️ Buy Entry

❌ Entry conditions (Sell)

The price breaks a strong support

It returns to test the support that became resistance

A strong bearish candle at the test

Volume ↑ with the drop

⬅️ Sell Entry

🧠 Trade Management

Stop loss: below/above the testing area directly (1–2%)

Profit target: 2–3× of the stop loss

You can take part of the profits at the first target

📊 Quick example:

The BTC coin was a resistance at 70,000$

It broke it and rose to 72K

It returned to test the 70K level

A strong bullish candle appeared

⬅️ Buy Entry

Target 73–74K

The stop is below 69.5K

💡 Why is this strategy strong?

✔ Safe entry after the trend confirms itself

✔ Very high success rate

✔ Suitable for all currencies and timeframes

✔ It doesn’t have too many indicators → Clear vision