Brkout of X Bar Low

Definition

A breakout refers to when the price of an asset moves above a resistance area, or moves below a support area. Breakouts indicate the potential for the price to start trending in the breakout direction. For example, a breakout to the upside from a chart pattern could indicate the price will start trending higher. Breakouts that occur on high volume (relative to normal volume) show greater conviction which means the price is more likely to trend in that direction.

The Brkout of X Bar Low indicator marks the low of any bar whose Low is lower than the Low of any of the previous bars referenced. The number of bars is specified in the Length input.
This indicator is used to show the downward trend in the markets. Several consecutively marked bars could be an indication of a price fall suggesting a possible breakout pattern. However, such a pattern may also indicate a trend is about to change its direction and a reversal is imminent.

Default Inputs

Length sets the number of bars used for calculation, 14 by default.