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Breakout Confirmation Rule

Wait for the close to reduce fake breakouts

Traders frequently mention getting trapped by early breakout attempts. This recipe delays entry prompts until a confirmation condition (e.g., candle close beyond level) occurs.

House RecipePersonal5 min setup

INGREDIENTS

🔔Notifications

PROMPT

Create "Breakout Confirmation Rule": when price crosses a marked level, wait for a 5m candle close beyond the level (+2 ticks buffer) before suggesting an entry. Optional volume confirmation toggle.

Pain point

"It broke out, then instantly reversed" is a common complaint when entering before confirmation.

Triggers

  • Price touches or crosses a marked breakout level

Conditions

  • Require close above/below level by minCloseBufferTicks
  • Require volume >= volumeMultiplier * averageVolume (optional)

Actions

  • Start a timer to wait for candle close
  • Alert only after confirmation; otherwise label as "probe only" (skip by default)

Parameters (defaults)

  • timeframe: 5m
  • minCloseBufferTicks: 2
  • requireVolumeConfirmation: false
  • volumeMultiplier: 1.5

Examples

  • If price wicks above HOD, do nothing. If 5m candle closes above HOD with buffer, alert entry plan.
  • If volume confirmation is enabled, require 1.5x average 5m volume.
Tags:#trading#breakouts#fomo#process