Break & Retest:
Short

The mirror image of Break & Retest Long. Price breaks below key support, rallies back to test the broken support as new resistance.

Trend Following15m, 4H2:1 R:RModerate
Deploy This Strategy See Rules

Rules & Configuration

The full rule set, required indicators, suggested configuration, execution flow, and performance parameters for the Break & Retest: Short setup.

The mirror image of Break & Retest Long. Price breaks below key support, rallies back to test the broken support as new resistance.

Indicators Used
Pivot PointsSupertrend (10, 3.0)EMA 20EMA 50Break of Structure
Rules
📉 Entry Rules
  • Identify key support (Pivot S1/S2 or swing lows)
  • Wait for close BELOW support
  • Wait for price to pull back up to retest level
  • Enter on bearish confirmation candle
  • EMA 20 must be below EMA 50
🛡️ Risk Management
  • Stop Loss: Above high of retest candle
  • Take Profit: 2× risk distance below entry
  • Partial: Close 50% at 1:1, trail rest
  • Max loss per trade: 1-2% of account
⚙️ Configuration
  • Fusion Mode: PA AND Indicator
  • Patterns: Shooting Star ✓, Bearish Engulfing ✓
  • SL: ATR × 1.5 | TP: R:R 2.0

Common questions

What is the Break & Retest: Short strategy?

The mirror image of Break & Retest Long. Price breaks below key support, rallies back to test the broken support as new resistance.

What indicators does the Break & Retest: Short strategy use?

The Break & Retest: Short strategy uses the following indicators: Pivot Points, Supertrend (10, 3.0), EMA 20, EMA 50, Break of Structure. These can be configured directly in AlgoBars AlgoBuilder.

What timeframe works best for Break & Retest: Short?

The Break & Retest: Short strategy is best traded on the 15m–4H timeframe. This can be adjusted based on your trading style and market conditions.

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