Books How To Make Money With Breakout Trading - Indrazith Shantharaj

"How To Make Money With Breakout Trading" by Indrazith Shantharaj is a comprehensive guide focused on mastering breakout trading—a strategy that capitalizes on price movements when a security breaks through established resistance or support levels. The book teaches traders how to distinguish genuine breakouts from false signals, which is crucial for successful entries and exits in any trading style, including intraday, swing, and positional trading123.

Key components of the breakout trading system outlined include:

Drawing Proper Trend Lines: Connecting price peaks with a consistent slope to identify support and resistance levels that the price respects over time13.

Identification of Real Breakouts: Genuine breakouts are characterized by a large breakout candle, quick price movement, absence of significant selling pressure (no opposite party response), and increased trading volume, indicating smart money involvement234.

Trade Execution: Systematic methods for entering trades, placing stop-loss orders, and taking profits are explained to maximize gains and minimize losses13.

The book also addresses common pitfalls, such as why even experienced traders fall for false breakouts, and offers advanced insights on exit strategies and trailing stop losses. Additionally, it explores the psychology of trading, emphasizing discipline, emotional control, and consistency as vital for long-term success4.

Shantharaj contrasts "Smart Money" (institutional investors who influence market direction) with "Dumb Money" (retail traders who often react late), encouraging traders to follow the smart money by learning to identify authentic breakouts. The guide includes practical lessons, references to technical analysis tools, and insights into options and short selling strategies related to breakout trading25.

Overall, this book serves as a practical manual for traders seeking to leverage breakout trading effectively by combining technical analysis, risk management, and trading psychology to improve profitability and reduce errors in the markets

1 BOOK