How I Avoid False Breakouts (My Secret Technique)

[@smbcapital]

SMB's new Scalping Class (free) tinyurl.com/48nvt36f Reasons2sell Video: kzbin.info/www/bejne/mJ_HoYp-obp7eaM

[@davidnorris-m3c]

Thxs🎉

[@davidnorris-m3c]

I agree with Jeff ....there just🤬 participants

[@phtephenjumptoconclusionsq3504]

OK so what exactly does passive and aggressive breakout buyng look like? Stock video footage not helping much ... with all due respect

[@rizwan101]

This is gold. Its what ive experienced and subconsciously know but first time hearing it articulated.

[@VM_VARGA]

Retrospection bias

[@jeffrydiamond]

You just described my exact problem: how an expectation causes a freeze as the knife falls. Thank you for this video. I will use the information.

[@gilligan1477]

man this is so great thanks jeff. Would have been amazing if you had chart examples of "rangy breaks" and " extended breaks" though. A brief follow up video on this with more examples would be stellar!

[@shavid18]

Yes! So much talking for so little exchange

[@johnotaran]

- [00:00](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 📉 False breakouts can be detrimental to both your trading account and confidence, but Jeff Holden, head of Trader development at SMB, shares techniques to avoid them. - [03:39](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 📈 Breakouts are characterized by energy and momentum buildup, often evolving from trading within a range into a consolidation phase before a breakout. - [05:30](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 💡 Approximately 30 to 40% of breakouts fail, emphasizing the need to identify those prone to failure and adjust risk accordingly. - [06:10](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 📊 Subtle clues like the number of touches on either side of a range can signal potential breakout failures, allowing traders to adjust their risk management. - [09:02](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 🔍 Identifying pressure breaks and analyzing where the buildup occurs prior to a breakout can help differentiate between promising and failing breakouts. - [12:00](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 📝 After identifying a good breakout, monitoring price action in the next five bars is crucial, with indicators like aggressive or passive participation helping gauge its success. - [15:10](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 💼 Traders have three options after a breakout: stand, add to the position if buying is aggressive, or fold if price action indicates failure. - [18:08](kzbin.info/www/bejne/fJWwlIOBfNl5naM) 🔄 Failed breakouts can present trading opportunities if recognized promptly, allowing traders to capitalize on price reversals.

[@charmjasmi]

i watched many SMB vids, all are very informative, very educational and full of wisdom ! btw, I like Jeff presentation most, he is so good at explaining and breaking things down into very details. Thanks Jeff, Mikey, and all SMB educators

[@bobbybushay185]

Im loving the more frequent content! Thank you all for your inspiration💯

[@paws4thought449]

As a trend trader I rarely encounter range breakouts, my capital is allocated to other stocks. I break out of resistance levels but I’m trading the moving averages

[@EARealRacingDriver]

i literally watch this channel and use it to understand where to profit , and i will say i have made profit ever since... there is no other channel like this with so much accuracy

[@pgohearn]

The visual effects really add texture. Thanks for another great vid.

[@tubeiam30]

Would have loved if you could have shown more examples along with your talk. Thanks.

[@hydehilly]

Amazing video. Thanks guys!

[@leeles]

Thanks Jeff, this is a very relevant topic you are adressing here.

[@MNTrader2012]

Sounds sophisticated and they have the solutions. Just to get you to buy the other lessons. It will get the newbies hooked bc they would really believe the hype. Then they will be out thousands and thousands and forever hooked.

[@5150Magic]

Actually, they have thousands of free videos and resources available. Kind of surprising the amount really.

[@jsk333]

Thank you for the continual sharing of great teaching you guys do! Very much appreciated!

[@DoubleBtmBouncer]

I've learned that support and resistance levels are more of a "zone" that a specific price level. Can be a few dollars wide on high volatile stock or as narrow as 1.00 on lower volatile stocks. All depends on the wicks and bodies in those zones. A resistance level can be between say 190 and 193 on a high volatile stock. The stock pushes up, breaks 190 with higher volume, everyone thinks its a break out, then it hits the top of that zone at 193, rejects, and breaks right back down under 190. Identifying those zones helped me a lot over the years and stopped me from getting into those false break outs. Fomo (fear of missing out) is real, people chase too many stocks when in reality if a stock is really strong it will give u multiple entries. Same when a stock is weak. We don't have to catch the WHOLE move a stock makes, we just have to catch part of the move to be profitable.

[@jerseyjeeper1575]

Before I even finish the video I’m pausing it to say that as soon as you start to think about bragging or getting kudos you’re on the way to losing that trade. Mark my word.

[@rizwan101]

😂

[@hudsonliu2109]

Agree

[@Kevin-mj8dz]

Me today in /NQ

[@sandroSwann]

Well said... I made that same mention in similar fashion also.

[@alliance3945]

Its not the bragging itself, its the effect the bragging has on your emotions and discipline.

[@BboyKozijn]

thank you for a solid lesson. i wish i had a mentor like this closer then new york :(

[@Beachtrader0007]

iirc they have an affiliate branch in austin texas. Its another trading company they partnered with years ago.

[@BboyKozijn]

im in canada bro...@@Beachtrader0007

[@tehuti112]

Haven’t even watched the video but my personal tip is don’t trade the initial breakout. Trade the retest of the level that it broke out from

[@ChyeHeng17]

I would somehow agree. I mean, if it's a fake breakout, the effect will be quite devastating. Another is, take quick profit if you do trade the initial breakout, but hold longer, for the restest..

[@AJohnson0325]

The best and strongest breakouts don’t retest so waiting for a retest could cause you to miss a lot of good trades and then you end up only trading the weakest breakouts. Just watch your position size and have a stop. The entry is one of the least important aspects of trading. Money management and risk management are the key.

[@IamTheJesus69]

It depends. The strongest most aggressive breakouts don’t retest.

[@ShogunSCOOTER]

@@AJohnson0325 Dangerous advise especially for new traders. That might fuel fomo, with devastating effect for traders who are not good at risk management.

[@thembangwenya4899]

This is the simplest thing yet most difficult for a lot

[@Sasa_S77]

Thank you very much Jeff. The depth of this video is fantastic!

[@VansusVie]

I agree that many people are considering NVDA as the "Stock of the year." However, I'm curious about which stocks could potentially become the next Nvidia in terms of growth over the next decade. I've allocated $200k for investment, aiming to retire comfortably.

[@Fahima9Tazin]

I think the next big thing will be A.I. For enduring growth akin to Nvidia, it's vital to avoid impulsive decisions driven by short-term fluctuations. Prioritize patience and a long-term perspective consider financial advisory for informed buying and selling decisions.

[@SteveKalfman-yv7co]

Facing a similar situation, I sought advice from an CFP. Through portfolio restructuring and diversification with good ETFs, S&P 500 and growth stocks, I've turned my portfolio around from $200k to over $800k in a few years.

[@SallyW414]

Your CFP must be really good, I hope it's okay to inquire if you're still collaborating with the same CFP and how I can get in touch with them?

[@SteveKalfman-yv7co]

She goes by ‘’Vivian Jean Wilhelm’ I suggest you look her up. To be honest, I almost didn't buy the idea of letting someone handle growing my finance, but so glad I did.

[@SallyW414]

Thank you! I entered her full name into my browser, and her website came out on top. I filled her form and i hope she gets back to me soon.

[@theMillerCode]

NOTHING takes the wind out of your sails like a trade that setup up for a break out then sputters out of the gate.

[@ryszardszalkiewicz3979]

Jeff, You can identify a false breakout in real time by being aware of your expectations, emotions, and other positive reactions including accompaning thoughts. If they are positive, then you know that it is a false breakout. Our expectations and emotions are excellent indicators if treated counterintuitively.

[@k.mcquistanpop6341]

This is the a very informative playbook in itself. Thanks for offering your experience on these conditions.

[@sivagurunathan4117]

Could you create a video explaining the correct method for placing stop losses in the breakout technique, particularly when adding positions ? and different type of it

[@jeffholden3736]

stop loss on a range break will almost always be just outside of the opposite side of the range.

[@henrymitchell9717]

I am very proud to say as well that my portfolio is up approx 72% YTD. Around 6x of that of the spy (around 15% gain) and 1.93x that of the QQQ (around 47% gain).

[@KT-zx9jr]

Excellent clip Jeff and thanks. Perfect timing for this. Did you see CRBP today? Finished the day with an rvol of 1275. Check out the first 5min candle......insane vol then steady.... Strong catalyst too of course and nice mkt conditions for this trade.....

[@phamtranucthang5495]

It's so valueable, thank SMB so much

[@CynthiaMorgan-qp8zl]

I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Veronica Hoy.

[@ThomasJones-gm7fr]

She is my family's personal Broker and also a personal Broker to many families in the United states, she is a licensed broker and a FINRA AGENT in the United States.

[@ThelmaJasmine]

You trade with Veronica Hoy too? Wow that woman has been a blessing to me and my family.

[@Jasmine-eu5qx]

I'm new at this, please how can I reach her?

[@CynthiaMorgan-qp8zl]

she's mostly on Telegrams, using the user name.

[@CynthiaMorgan-qp8zl]

HOY15 💯💯

[@bakerdmd]

This speaker is such a good teacher

[@jonnysuited610]

Showing more visual examples would be great

[@matthewgardner824]

He says you can determine what will happen in the first 5 bars after the breakout. What bars? The one minute bar? The 5 minute bar? He is not specific, only says 5 bars.

[@whatsmyedgeagain_]

Amazing rigorous trading methodology and cool engaging communication! Thank you, Jeff and SMB Capital team, for this great stuff!

[@1Giovann1]

This Video is sooooo helpful, Thank you very much

[@907Blademan]

Great details Jeff! Thanks!

[@shoelesstrucker4414]

I am sort of new to all this and my question is how do you profit from a stock that is breaking to the down side? What position do you take? Or did I misunderstand?

[@MinotauroTrading]

So you would start selling after it breaks the last low. Shit i have always tried to sell at the top of the range thats why i always get destroyed. Thank you.

[@nd-kay]

Wow! Many thanks! Such a valuable lesson!

[@yoginacharya2150]

SMB never disappoints. Thank you 🙏.

[@ChyeHeng17]

A lot of gems here, but if you aren't as experienced, it's probably hard to catch what he's presenting without much visual guides. But, good gems still...that's how you put together multiple good sources, into your own Trading playbook.

[@matthewmichaelcrown3643]

one of your most helpful vids tnx

[@nanoamine5540]

Great video. Right Google got nice break of good level and now retest.

[@voi2100]

can you post a video how to sell the news (maybe with bitcoin example - coinbase IPO 14 IV 2021, and now ETF)?

[@JustinDaddow-f5l]

Appreciate you all!

[@alexandrudragomir5419]

I feel that the information is more like a story than a real educational material. For example 5 bars rule, minute bar, 5 min bar , 1 day bar what is the bar unit to report to. The video is more about a feeling than a real example. Also would be interesting to give a real example using a real ticker than to discuss in theory.

[@MNTrader2012]

It is a sales pitch to lure you into believing you need to buy their programs to get the gems.

[@sardororipov1302]

why does it matter what timeframe. 5 bars could be 30 seconds, 1 minute, daily/weekly bars, does not matter. What does matter is concept. Trading is not mechnaical if this do this, its fluid and context can change at any second, you can follow plan even see volume with breakout but Putin tweets about nuclear weapon and you will get stopped.

[@TriPrasetiani-y1c]

Связка отличная, респект автору!

[@airsantempire]

I've been burned by false break outs so many times that I wait until the false break out happens and then I take the trade.

[@hubristicmystic]

Waiting until the whales have eaten?

[@airsantempire]

picking up da scraps that fell off the table@@hubristicmystic

[@tradingpoker1324]

Should the stop usually go right below the breakout level?

[@howtobeacourier]

That's what I usually do.....but these brokers have slippage. It's never just cut and dry with setting a stop loss

[@capitaldd3693]

newbie question.. ..when the sec rule 203 is put into place, how come I'll see that stock listed as a larger drop in price than 10%....? (having read that the stock is only supposed to drop 10% , then the 201 rule will take kick in. I often see stocks with a much larger than 10% decrease in value for that day..)(i'm looking at one on I/B and it's showing -22.97%) thanks

[@cyhooo]

please give me more example on chart🙏

[@garcher2]

What time bar are you talking about, 1 minute, 5 minute, or...?

[@johnotaran]

Thanks for the insights ! In regards to passive price action, is that passive sustained buying on steady volume ? And regarding lethargic price action, is that basically price breaking out but by a small margin and then just going sideways or drifiting up on low volume ?

[@jonnysuited610]

got the same question! I am only focused on break outs and it is hard sometimes to figure out what is going in that sense

[@Sopros1]

Great video. Thanks for sharing.

[@G_Mac_Trading]

Excellent, Thank you

[@filipjurga-c9i]

Огромное спасибо за рабочую информацию.

[@bpb5541]

All you need to know is what a 180 bullish or bearish bar looks like. Should you enter long and that candle gets taken out by an engulfing red bar. You should get stopped out if you set your stop correctly. That is an INSTANT go short event. 180s have about a 75% follow through. Do not be stubborn or think it will come back. If you were wrong you were wrong. Great traders don't care. That is what the stop is for. They also have no problem going the other way if a certain event happens. A 180 bar is that event.

[@Rokbao]

Связка работает отлично, автор красава!

[@gilligan1477]

5 bars on which time frame?!

[@777xino]

he said any TF

[@TradesbyNao]

I was just about to type the exact same question.

[@miketiger2030]

nice information , good explanation. more chart work would do more justice to the video

[@AlphaBidTradingDesk]

Very well explained!

[@yoshigolfer1512]

In trading, That guy crushed the trade to that guy got crushed in the trade comes very fast.

[@benjaminficus9738]

This video would have been much better with about 1/10 the number of words and ten times more examples. Too much yacking, not enough demonstrating.

[@deathgun887]

agree

[@TradesbyNao]

💯 agree

[@SacredCASHcow]

think about the kind of person who picks trading as a career and STILL chooses to go into an office every day in the most congested city in the world

[@FayyazAhmed]

exactly! 🤣

[@nb9797]

It's marketing, dude

[@midnightsxtc]

13:45 makes sense

[@CuongNguyen-rm1vz]

sorry sir, you said about the next 5 bars, is it on 1 minute bar or 5 minutes bar or 3 minutes bar could u please reveal the secret?? thank you so much

[@777xino]

He said any TF even the 1 minute

[@jasonstephens37221]

Best f’ing video you all have done! This is true online share training and applaud you for it. Thanks! Been at this for 3-4 yrs and finally getting to breakeven after all the easy money I 24:20 made a few years ago. Knowledge is king, and I appreciate this video more than your others. Just wanted to drop my thoughts! Do more of this! Thanks

[@nguyenfang6976]

I swear most the time ive seen a stock or ETF consoidate after a big move down or up it usually continues the move in the direction that it's going.

[@iman_trades]

Great one!

[@Stockbro420]

CAN YOU SHOW NE HOW TO TRADE AT HOME

[@tradingpoker1324]

Just like poker. The big hands play themselves and it's hard to misplay them. A lot of the edge is gained with marginal hands, especially knowing when to fold to avoid unnecessary losses in suboptimal scenarios.

[@mattanderson6672]

Thank you

[@bibbidi_bobbidi_bacons]

Great video, thanks. Hopefully I can get ahold of being profitable before I do that exhaust hose in the car window thing while I’m shit drunk, and eat a handful of Tylenol and Benadryls

[@cet4100]

Did not understand "15 bars higher...7 minutes...". Otherwise, seemed like good info. I will definitely watch for those conditions.

[@NoxetteGueye]

узнал много нового про альткоины из твоего обзора я даже не думал, что сейчас есть столько крутых перспективных монеток

[@phoenixnine]

Excellent info.

[@vidpic8311]

By the Time the SELLERS in your example at 20:44, show their in on control you have missed 70% of the short, very little meat left on the bone, be nice to see, how you trade on the 1 min 2 min 3min in relation to the close of the candle and the Volume in relation to the close of the candle. This was very general and obvious for someone that has traded for a while. . . . Meh .......

[@jeffholden3736]

I'll let him know.

[@georgekatcharava6087]

interesting point!

[@SigmayetB]

I d Love To Be A Full Time Prop Firm Trader for SMB Capital I’m reading the book already

[@gruposcalybursadecv997]

those examples are some nasty fake outs...man the y can kill your account quickly Thanks for the lesson SMB

[@JustinDaddow-f5l]

So I've committed my whole life to studying the markets and trading. I'm grat at reading price, but my executions need so much work.

[@Fabbish6]

Amazing video 🎉

[@nnn8502]

Have no idea when I even subscribed to this channel

[@ray2228]

Isn't that just the stop hunt you see in London and Asian market. And trap and reverse.

[@johnw6648]

why are you talking about the tape when it hasnt existed for years?

[@gideondominic9235]

Trading is just everyday discovery, no matter how professional you are, market will always lecture you.

[@Sisyphus000-j9w]

This video was unintelligible. Next time, please use charts to demonstrate what all the vague adjectives you employ, one after the other, mean on a chart.

[@pmrdrywall8345]

You wouldnt work for my firm trafing breakout. Breakout are a very retail concept its pretty much the worst strategie

[@MEDBAH-u2f]

Вот это добрейшее утро;)

[@NoNo-zf6tz]

Whenever I feel good I sell..when I feel bad I buy.

[@DoomBapBellic]

when i am hungry i short when i had good food i long :D

[@supercruchynoodle]

I think the fact that Rudy is an adult 8 years later from the time he walked his dogs when he was 17 is why his mom never got charged. No excuse to not charge her but the law considers him an autonomous self-deciding adult despite his trauma sadly enough

[@supercruchynoodle]

Ooops sorry wrong video

[@bradleygibson9686]

Mind your own biz

[@Ad-st4vg]

5 bars ? isn't too late ?

[@deedswindsor]

Generally like SMB vids but this one has too much talking and not enough actual SHOWING!

[@johnchang3807]

Skip to 13 minutes bypassing all the marketing contents to sell courses .

[@musiquedxm]

this is an advertising video, not educational.

[@Mohitkumar-g8i7p]

Крипта - цифровое золото!

[@sc0or]

A true price channel breakout must be confirmed with a similar channel breakout on RSI (with a new channel margin test). Works “always”

[@redpelon]

not so good for visual learners.

[@lesfrick2976]

❤

[@sandstorm973]

Is this the reasons2Sell video that Jeff mentioned: kzbin.info/www/bejne/lZirc4SfjNOWmtE?

[@smbcapital]

I believe it should be this one: kzbin.info/www/bejne/mJ_HoYp-obp7eaM

[@rombusworkmoney22]

I wish you had shown concrete examples instead of guys sitting in front of their computers.

[@goodman1127]

At false breakouts reversal is so fast you lose 10% by one candle