Report post

What is a break of structure in trading?

Break of Structure, or BOS, is a fundamental concept used to identify the continuation of a trend in market structure trading. A BOS occurs when the price of an asset breaks the previous high or low within the current trend, thereby confirming a continuation of the trend. Imagine you are watching the price chart of a currency pair in Forex trading.

What is a market structure break?

By accurately recognizing a Market Structure Break, traders can utilize Fair Value Gaps and Orderblocks to enter the market, confident that the market structure has shifted and will continue in the new trend. The graph above also exemplifies how an Orderblock (the last two downward candles) can serve as a catalyst for a trend reversal.

What is a break of structure?

A Break of Structure (BOS) is an integral concept signifying trend continuation rather than its weakening or reversal. In essence, a BOS occurs when, within the context of an uptrend, the market creates a new high beyond the previous peak without breaking the previous low.

The World's Leading Crypto Trading Platform

Get my welcome gifts