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Breakout

A price move through a defined boundary — a prior high, a range top, or a volatility band — taken as evidence that a new trend is starting. Breakout systems buy strength rather than weakness, betting on continuation. Their failure mode is the false breakout, which is why many pair the entry with a trailing stop rather than a fixed target.
See it in action: 20-Day Momentum + Trailing Stop →

Backtested on 59 ETFs over 5.7 years with real engine results and a buy-and-hold comparison on every page.

Related terms

MomentumThe empirical tendency of assets that have recently performed well to …Trailing StopA stop-loss that follows the position up: it sits a fixed percentage b…

Backtests are hypothetical, computed by DeployQuant's engine on minute-resolution consolidated US market data (2021-01-04 to 2026-10-02, $10,000 starting capital, no margin, no fees or slippage in the headline run; buy-and-hold puts 98% of the account in at the first open, as the templates do) and do not guarantee future results. Nothing on this page is investment advice. Live trading involves risk of loss.