A rectangle pattern breakout happens when the price breaks above the upper horizontal line of the rectangle, indicating a potential upward movement. Traders often consider this breakout as a signal to enter a long (buy) trade.
Breakout Strategy: Enter a trade when the price breaks above the upper line of the rectangle pattern. Place a stop loss below the lower line.
Retest Strategy: Enter after the breakout, wait for the price to retest the upper line (now acting as support), and then place a buy order. Set a stop loss below the retest level.
Breakout Strategy: Enter a trade when the price breaks above the upper line of the rectangle pattern. Place a stop loss below the lower line.
Retest Strategy: Enter after the breakout, wait for the price to retest the upper line (now acting as support), and then place a buy order. Set a stop loss below the retest level.
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