breakout trading strategy ( Live trading )

"I need to see a period of consolidation in which structure resistance has been tested at least two times and structure support has been tested at least two times."

"After seeing that that classifies this as a period of consolidation and at that point I can wait for the breakout to the up or to the downside followed by a pullback into a trend line then an entry reason looking for that move lower or higher in this case."

"And I noticed that if I wait for these periods of consolidation based on my rules and a breakout of those periods of consolidation and I enter the market using my entry reason that I have a statistical advantage over the market and over time consistently win trade."

"By setting my stop loss there I had an opportunity to gain a little over a 2:1 risk reward on this trade."

"For instance on this specific trade we'll just use this as an example and as you can see guys it's been a couple of days since I was shooting the last part of that video and we have actually came up hit first targets and back down to be stopped out for break even on the second part of our position here on the dollar Canada but we took our position out about right here and the way I chose to place my stop loss was by going under my entry Candle by a few Pips."

"In doing so I created a good opportunity to give myself a decent risk to reward ratio which is something that I regard very highly in my trading."

"For trend continuation strategies when the market's doing something like this and you can get involved in a pullback then that I think is a very good time for you to consider a stop placement that's below the previous swing low."

"You can do so by an average true range indicator just look up ATR in your trading platform and you should have no problems finding that."

"You can go with the swing low or the entry candle and you can go a set number of Pips instead of using the ATR indicator such as 10 to 20 Pips on an hourly time frame and 30 or above on a 4H hour chart."