In today’s video David Jones will be talking about one of the worst trading scenarios and that is the False Breakout.
Textbooks say that if a trend line breaks, then that’s it – another direction is certain. Well, that’s not exactly true. Patience is key.
Making the decisions in the right time at the right price makes all the difference. This video will help you make that judgment with more knowledge about the different possible scenarios.
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Captain Hindsight.
If David Jones is the Peter Gabriel of trading (sure looks like Gabriel in the 80s) then his strategies will surely work
Kept trading and we’ll end up in Davy Jones locker
i’ve noticed that his vidoes are about everything BUT how to profit from TA.
Thanks for explaining things a novice could understand. Subscribed.
Hindsight is 20/20
thanks devi
Love from india
Thanks mate
Thank you for sharing your knowledge, I been Trading since 2008 and still find all your videos extremely helpful and reminders of lot of small things that I have forgotten, I really appreciate all of your videos, god bless and stay green
You profitable?
Ok, I guess I will definitely end up being a very good trader because I am just 2 weeks in to trading and have already figured this out. This is my first time seeing this video. This has given me great confidence as i have already made successful trades doing exactly this.
I have literaly decided to take EVERY double bottom formation as it has a relatively high reward system even if the lowest return is 5 pips.
but do you trade at the moment of the breakout, or do you wait the pullback first to trade? because you can be buying in a resistance level and selling in a support level..
Great video
Hello me David Jones…
Me : Wow pirates of the carribean!!
Can this technique be used in forex? Does anyone know?
Which charting software do u use?
is there indicator to detect false breakout?
thanks…how does it compare w/ 123
I love this guys teaching methods, he’s very calm and precise
All I got was that it could turn when it breaks out. But really how to tell the difference. There are instances where it breaks out looks like it’s false then continues to break through. Should compare a false with a true breakout and see what the differences are.
I’m learning a lot from these videos I’m a beginner
听不懂，英文
usefull videos and amazed on how nice the community seems
Hey there, thank you for the kind words! Much appreciated.
Trading breakouts
1.) See if price breaks support or resistance line.
2.) Wait for next candle confirmation to enter the breakout.
3.) Stop loss place just below or above the support or resistance line.
Trading false breakouts
1.) After price breaks support or resistance line wait for next candle confirmation to enter the price reversal.
2.) Stop loss place just below or above the support or resistance line.
i saw your youtube video tutorials on trading breakouts and false breakouts, these are the rules i understood from your videos on breakouts and false breakout.
Would it be better to set a buy stop position just above the breakout candle during a breakout on a resistance line at the same time set a sell stop position just below the resistance line candle, from this if a false breakout occur by sell stop position would be triggered and if a breakout took place in this scenario my buy stop position will be triggered and the trade would still go in my favour whether it continues to go up into a breakout or goes back down into a false breakout.
Such a quality content. Very self explanatory
Great video. Most times the false breakout is what actually happens. Unless the breakout is confirmed with major momentum and on a fractal price zone.
thank you for this video !
good video!
Apple 270$ today…..you should have bought at 120
9:39
Wouldn’t expect that to break out.
Would expect reversal.
Classic pattern.
Yes, yes, he says it in the video, no need to reiterate it.
Very good video
great video, a clear and comprehensive picture of false break.
Is there a percentage of breakouts vs false breakouts on average in a given market? For example, 60% of the time it’s a breakout, 40% false breakout
I’ve seen 80% range and 20% trend.
True, its happen in gold market yesterday 👍
I think you should also provide some fail example too. It loos so easy to do but somehow very difficult to implement.
Please trading212 the tutorial about money management
David, I absolutely adore your videos and the manner in which you bring the information. I had a question about your small monitor on the right, do you have it set up as a touchscreen/serving any non-standard purpose?
How can I download your software on my Pc
pretty useless. remember, u can not know whether the breakout will fail or not only after the market comes back.
Anyone know what brooker is great to use with trading right now?
why dont the graphs work with the current price
I want my 15 mins back..ugh
So price must close higher/lower in order to be a confirmed breakout??
nice video, there are so much ways to trade false breakouts and these are definitely great examples.
Coming to the US?
Good day! Great video. My question relates to buy & sell orders. I had an idea and thought that what if you place an order to sell (in a down trend) just below the stop loss at the recovery point below the support, (so that in that case if the trend continues you can still make some profit) or use a vice-versa application of this in an uptrend? I want to know what you think about this strategy within the strategy.
I know my question is coming 2 years late, but I hope you’ll still see this and respond
good job!
It did not answer the question in a useful and not apparent way, did it?
Very very very informative
Thank you for sharing
Is there anyone using ellliot wave esignal software
Doing this strategy with candles of greater time periods, would the strategy in theory have a less frequent success rate because doing on a larger time frame like days, it would mean that the strategy is more exposed to macroeconomics shocks and also economic shocks within the firm (if you were trading in stocks).
This video is not helpful. Here’s the summary, look at the candles and the price action, neither of which is explained.
great video, very insightful thank you!
More price action videos please!
This channel has taught me so much in just one day. Thanks!
What website is he using in the background? With the black screen
Great video. very detailed and must know information. Thanks a lot man.
You guys should expand to Canada
Excellent video!
Is this strategies useful for all markets? Will this work for NSE?
A very concise, clear and helpful video. Thank you!
great video
well explained
What platform are you using?
Your explanations are very helpful! Thank you!
Thank you so much. Very easy to understand
Excellent Excellent Excellent
I usually use a 1.5 ATR from the support or resistance level.
I’ve watched only 2 videos of you sir, and I’m already a fan 👍. Easy to understand and nice way of explaining.
title should have been ‘examples of false breakout’ instead of how to recognise false break out
I just wanna say that was wonderful thank you very much nobody has taught this as well as you , thanks sir
I know I didn’t lose a lot of money but the false breakout got me. Didn’t wait for the evening star confirmation and convinced myself the trade would go in my favor. My lot size was only a 0.05.
You look like someone in between Pierce Brosnan and Hugh Jackman looks-wise.
1:28 Freudian slip!!! Exposed xD
loved it! <3
Did anyone else just think for a moment that the guy’s mouse just materialised out of the ether?
Nice guy I love his knowledge
Earn as much as you can, save as much as you can, invest as much as you can, give as much as you can
So how do o detect a false breakout?
Great videos-Ive learned more in a week watching your vids than I have in 6 mos of other vids. Thanks!
This guy speaks very similar to Chef Gordon Ramsay. (Just at the begining tho…)
Very clear and simple. Thank you!
My only issue with this strategy is setting the stop loss at the high of the breakout, an obvious level.
Thank you!
Still incredibly useful 4 years down the line!
13:48 could you call this a double bottom pattern so you know the price was going up ?
Good stuff, thanks.
U explained well but u not given Solution??
youtube is a miracle
Very good video
Thank you!! It’s good stuff people like yall do. Helping a lot of traders (including me) with this
Great video. Thanks
I love the way you teach
so handsome.. thanks for the info.
This method doesn’t work with leverage, does it?
Thanks
Very helpful!
Thank you for sharing your knowledge. You explained this very well.
I truly appreciate your explanations that help me understand immensely. Thank you very much!!
Actually not a good explaination, You trade breakouts from KEY levels which are confirmed 2x+ on higher time frame “daily” and you set your stop order above/byond the level !! with propper risk and money managment and atleast 1:3 ratio! and of ofcourse after checking the ATR & price range. or else do not enter a trade !