How To Trade Breakouts
Recently, there were a few successful breakout due to bullish sentiments. DRBHicom, Dialog, Sapcres and many more came into mind. I told YH that I grabbed DRB-cd when DRBHcom have the breakout!! It is a trial-n-error. So, at the moment, I am looking at MahSing at the moment. COuld she breakout of 2.74 level? GenM will be seeing the new high level ... could it breakout of 2.80 level convincingly and generate high profits for my GenM-cp? Yes, one may buy into it, anticipating breakout!!! Or we may wait for the confirmation. Whichever way, MARKET overall sentiment is very important for success of a breakout. Once KLCI breakout into new high, we might see 1590 level, then.
The risk is high. Listen to the clip above to learn a little about breakout. Do place a stop loss as at resistance, RSI is at high level and a fail breakout could see some profit-taking, corrections till the next support level.
This is just for educational purposes.