Breakout trading is an extremely popular tactic when trading, but it is often one which receives a bad press. The reason for this is very simple, as breakout moves are often associated with ‘fakeout’ moves. In other words a trap move with the price action then reverting back into the congestion phase once more. Breakout traders who do not use volume then suggest this is not a valid approach to trading, and that’s the reason they struggle. They do not apply volume. Volume confirms whether a breakout is genuine or not as it reveals whether the indsiders are market makers are particpating or not. If they are then you can join the move with confidence. If not, then you stay out and wait. It’s that simple!