TRADING GLOSSARY
False breakout
A false breakout occurs when price moves beyond a recognised level or chart boundary but then returns inside it without sustaining the move. It can occur above resistance or below support, and identifying it depends partly on the timeframe and criteria used.
EXAMPLE
In a hypothetical example, price rises above resistance at 100 to reach 102, then falls back to 99 within the same session.
RELATED TERMS
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Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure