The breakout strategy is a strategy based on bar breakouts that can be used on any timeframe. Generally speaking, there are four types of bars. An inside bar with a lower high and a higher low (relative to the previous bar), an outside bar with a higher high and lower low, a bullish breakout up bar with a higher high and higher low, and a bearish breakout down bar with a lower high and lower low. The breakout strategy utilizes four additional types of signaling bars to provide a higher probability trade. A doji (D) bar signaling no directional bias, a fakeout (F) bar defined as a stop hunter, a hammer (H) bar typically signaling a bullish reversal, and a shooter (S) bar typically signaling a bearish reversal. The Ai.BREAK bot sends an alert when a high probability breakout condition is met. Gap breakout alerts are also sent after market open. Due to early session volatility, gap breakout alerts are sent out 3 minutes after the market open if the gap is still open.

Schematics shown above provide a pictoral view of what type of patterns are analyzed live on various timeframes. An inside bar is shown in yellow, an outside bar is in light purple, a bullish breakout up bar in green and a bearish breakout down bar in red. - - is an entry price zone and — is the first target price zone. Distance between an entry and target price zones is an expected bullish or bearish move. First target zone is provided by the Ai.BREAK bot with an alert.