5 Pips Breakout Trading System on Any Pair
I think this strategy looks very intriguing, and it is true that many times the price moves back before reaching the take-profit target after a fake breakout. The author did not post the testing or trading results on the website. I didn’t find them or I could have missed. The strategy was described in details on how and when to place orders. The win-loss ratio is 1:4, which means it needs 4 winning trade for every loss trade to break even. However, the author explained why the strategy still looked promising.
The theory from author’s website:
The Idea- We all know there are supports, resistants and psychology levels in currency trading and those are the places traders usually put their STOPs, especially retail traders. If you pay attention to the price movement, there are high probabilities the price will breakout the supports/resistants or it doesn’t touch the supports/resistants at all. Case 1, a clear breakout, price break the level with little or no retracement. Case 2, a fake breakout, it price the level about 10-20 pips then move back.
