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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

Breakout  

Definition 1.

A rise in a security's price above a resistance level (commonly its previous high price) or a drop below a level of support (commonly the former lowest price.) A breakout is taken to signify a continuing move in the same direction. Can be used by technical analysts as a buy or sell indicator.
 

Definition 2.

A chart pattern used to indicate a rise in a stock's price above its resistance level (such as its previous high price) or a drop below its support level (commonly the last lowest price).
 

Definition 3.

Technical analysis term for a rise in a security's price above a resistance level (usually its previous high) or drop below a support level (usually its previous low).
 
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