This is a situation where the price chart either passes through the support line (see ), or through the resistance line (see). For example, when the price breaks through the resistance line, it means that the market is now looking to purchase this tool at a high price. Conversely, when the price chart breaks through the support level, it means that the bears “won” and the number of those wishing to sell soared . Real breakout happens when the price goes through the resistance line and goes up or false when the price breaks through the line, but then still went back into the channel.

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