Core Concepts

Break of Structure (BOS)

Price violates the previous swing point in the trend direction

A Break of Structure (BOS) occurs when price breaks and closes beyond a significant swing point, confirming trend continuation. In an uptrend, this is a break above the previous higher high, and in a downtrend, it is a break below the previous lower low.

How to Recognize

  • Price breaking above previous higher high (uptrend)
  • Price breaking below previous lower low (downtrend)
  • Confirmation of trend continuation
  • Strong momentum on the break