Strategy / Momentum
Breakout & Retest: how the bot trades.
Waits for price to break a recent high and revisit that level before looking for an entry.
- Suits
- Ranges breaking out
- Lookback
- set by you
- Retest tolerance
- set by you
- Stop-loss
- set by you
- Take-profit
- set by you
In short
What is the Breakout & Retest strategy?
The Breakout & Retest bot arms when price closes above its recent high, then waits and buys only when price pulls back to retest that broken level, instead of chasing the breakout.
On Jassrox, Breakout & Retest runs server-side on your connected MetaTrader 5 account, so your computer can be off. Like every strategy on the platform, it can lose money; test it on the demo first.
- Family
- Momentum
- Direction
- Long only: one buy position at a time.
- Tends to suit
- Ranges breaking out
Mechanics
How does Breakout & Retest enter and exit?
The rules below are what the Breakout & Retest engine does on every tick, in plain words.
Entry
How it enters
The bot tracks the highest price over the lookback window. A move above it arms the bot and records the broken level. It then waits for price to come back within the retest tolerance of that level and buys there. On live accounts the high can come from real one-minute candles.
Exit
How it exits
The position closes at the stop-loss or take-profit, set as a percentage, pips or ATR multiples. It can also flatten before the weekend or a daily break.
Market conditions
When does Breakout & Retest fit, and when does it struggle?
No strategy suits every market. These are the conditions its rules assume, and the ones that break them.
Tends to fit
- Ranges that break and then hold the old high as new support
- Clean, liquid markets where levels are widely watched
Tends to struggle
- False breakouts that fall straight back through the level
- Fast moves that never come back to retest, so no trade happens
Configuration
Which settings matter most?
Each bot can start from an AI preset, a plain-English description or manual values. These are the settings to understand before you start.
- Lookback
- How far back the recent high is measured.
- Retest tolerance
- How close, in percent, price must come back to the broken level to count as a retest.
- Stop-loss and take-profit
- A fixed percent or pips, or ATR multiples when ATR sizing is on.
- Lot size and exposure cap
- The volume per entry and the most the bot may hold.
Risk
What can go wrong with Breakout & Retest?
A retest can fail, and infrequent signals make a short backtest inconclusive. Check execution costs and the available sample.
- A retest can turn into a failed breakout.
- Signals are rare, so a short test says little either way.
- Waiting for a retest means missing moves that never pull back.
In the app
How the New Bot wizard describes it
Labelled "experimental" in the New Bot wizard: its signal is rare, so there are not yet enough trades to judge it.
Account-wide risk limits (daily loss, weekly loss, drawdown from peak and symbol exposure) apply on top of the strategy's own exits.
FAQ
Questions about Breakout & Retest
Why wait for a retest instead of buying the breakout?
Buying the breakout itself chases price at its most extended point. Waiting for a retest enters closer to the broken level, with a clearer place for the stop, at the cost of missing moves that never pull back.
Why is my breakout bot not taking trades?
It needs two events in order: a close above the recent high, then a pullback into the retest tolerance. In many conditions that sequence is uncommon.
Does it trade breakdowns to the downside?
No. It is long only and trades breaks above a recent high.
Other strategies
Related
Keep exploring
Start on demo
Test the behaviour before the capital.
Start with virtual funds. Review the strategy, define your limits, and observe it before connecting a live account.
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