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Break of Structure & Hard-Close

Learn how to confirm valid breaks and use hard-close confirmation

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What is a Break of Structure?

Confirming trend continuation

Break of Structure (BOS)

A Break of Structure (BOS) indicates that a previous level of market structure has been broken.

This can confirm that a trend is continuing higher (bullish) or lower (bearish).

In a bull trend, BOS occurs when the previous high is broken.

In a bear trend, BOS occurs when the previous low is broken.

BOS = Price breaks AND closes beyond previous structure

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Key Rule

Always wait for the candle to CLOSE before confirming a break of structure. Wicks don't count!

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Hard-Close

For extra confirmation, wait for a hard-close candle that opens AND closes beyond the level.

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Trend Direction

Hard-close candles must match the trend: bullish candle in uptrend, bearish in downtrend.