Breakout entry with retest
This is already a slightly complicated tactic of entering the market for a breakdown level, but it will seem simple for you if you are a patient and disciplined trader.
To enter, we will use farewell prices with the level. When the price breaks the level, in 70% of cases it rolls back to it.
The market breaks through the resistance level, but then stops, as the bulls take a break before the next attack. The remaining forces of the bears use this moment to close their orders at 0, which provokes the market to decline. Touching the level, there are practically no sellers, buyers are attacking with renewed vigor.
The following is an example of the USD / JPY currency pair. We have a strong resistance level that has been broken by the price, after which the market begins to decline to the broken level. The price went down and realized that the bulls would not let it back in. Here we began to grow, which could bring 670 points of profit.
Such an entry is effective because it avoids false breakdowns and makes it possible to enter the market at the best prices.