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Crypto · price-structure setup

False breakout on Stellar

On Stellar the false breakout showed up 25 times. The target came first 40% of the time, the stop 52%, and 8% went nowhere within 12 candles.

Counted on Stellar (XLM/USDT): daily candles from January 2021, 4-hour candles from January 2021 and hourly candles from January 2021.

By timeframe

TimeframeFoundTarget firstStop firstWent nowhere
Daily10%100%0%
4-hour250%50%0%
Hourly2241%50%9%

Stellar against the rest

ChartsFoundTarget firstStop firstWent nowhere
Stellar2540%52%8%
All Crypto charts52039%52%8%
Every market70339%53%8%

Year by year

YearFoundTarget firstStop first
202240%50%
20231233%67%
2024560%40%

The last 8 times

Counted by the Trading Class research engine on real past candles: entry at the signal candle's close, target 1.5 × ATR(14), stop 1 × ATR(14), 12 candles to decide, a candle that touches both counts as the stop. How we count. Past data, not a forecast and not advice.

What the false breakout is

Price broke above resistance, then fell straight back below it. A trap.

Imagine a jack-in-the-box that pops up, then gets pushed right back inside. A false breakout is when price breaks above a ceiling, then soon falls back below it. The buyers who jumped in on the breakout are now stuck.

The full false breakout lesson, video and quiz ›

Other patterns on Stellar

Inside bar · Stochastic bearish cross · Stochastic bullish cross · Spinning top · Volume profile rejection · Doji · Volume profile bounce · MACD bullish cross · MACD bearish cross · EMA 9/21 bearish cross · all of them

The false breakout elsewhere

Bitcoin · Chainlink · Uniswap · Polkadot · Aave · Cosmos · XRP · Dogecoin · TRON

Questions

How often does the false breakout work on Stellar?

In 25 cases on Stellar, the target (1.5 × ATR) came before the stop (1 × ATR) 40% of the time and the stop came first 52%; 8% went nowhere within 12 candles.

What is the false breakout?

Price broke above resistance, then fell straight back below it. A trap.