Thread: “Break & Hold” system at key levels: simple but effective

I don't understand how people make life so complicated. It breaks, recedes, respects... you go in. What else do you want? If you need more of that, the problem is yours, not the system.

I have tried something similar in gold, but gold is very treacherous. Many breaks and false setbacks. I will test it in USDJPY, which seems to respect better clean levels.

Hey, do you have captures of operations applying this? I would be interested to see how you manage the exact entries and the TP. Sometimes I doubt whether to take the first impulse or wait for more confirmation.

I upload 3 examples of recent trades with this system (see attachments

I close the week with +3.8% applying only this method. The key was not to enter the break, but to wait. It costs at first, but it is worth it. Thanks to all those who contributed to the thread, we continue sharing improvements.

One of the most undervalued keys of the system “Break Hold & Hold” is the macro and micro context of the level that you are operating. Many traders simply mark a line in the graph and expect it to work, but do not stop to think why that level is there, what generated it, and what interests are behind its break or defense. A valid level is not only the one that has been tested several times, but the one that coincides with zones of important volume, institutional imbalance or previous liquidity zones. For example, if a level of support was created just after a strong macro news, you will probably eat all the false breaks. Then, if that level is broken and the price is kept below, that is not only a technical signal, but a validation of change of feeling of the market. The break in that case is significant. If you see this system only as “a line”, you will probably eat it when you enter it. Another fundamental aspect is the entry timing. There is a huge difference between a break in the Asian session and one at the opening of London. The sessions have different characteristics, and apply this system in the wrong time is like to use.

Thank you for taking the time to write all that. It opened my eyes a lot about the context of the levels.

Aren't you over-analyzing something that's actually much simpler?

The time between sessions I had not considered so thoroughly, I will apply it already.

The psychology part gave me right where I always failed.