Assuming breakouts at key levels are valid (let’s not debate if they are or not) ie: support, resis, pivot, MA, ETC. What are some thoughts on the fraction or multiple of the ATR that the underlying has to exceed the level to confirm the breakout ?
I thought I saw a post on ACD method where at 20-25% of the ATR over the opening range was considered appropriate. This seems pretty tight, except for the shortest time frames. I am thinking more along the lines of 2-5 day swing trades….