Nifty sideways -- timings - 10:30 to 1 PM
- Volume Confirmation: Is the breakout candle's volume significantly higher than the previous 5 candles? Low-volume breakouts are often traps.
- The "Close" Rule: Does the candle actually close above the 15-minute high? Many traders jump in as soon as the price touches a new high, but "smart money" often pushes it back before the candle closes.
- Wick vs. Body: Is the breakout candle a strong "Marubozu" (mostly body, little wick)? If the candle has a tiny body and a very long wick above the breakout level, it is a classic trap. [1, 2, 3, 4]
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