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Break of Structure Pattern
BOS occurs when price breaks a previous swing high or low, confirming trend continuation in ICT/SMC methodology.
Quick Answer
BOS occurs when price breaks a previous swing high or low, confirming trend continuation in ICT/SMC methodology.
What Is the Break of Structure Pattern?
Break of Structure (BOS) is a key concept in Smart Money Concepts (SMC) and Inner Circle Trader (ICT) methodology. It occurs when price breaks through a previous swing high (in an uptrend) or swing low (in a downtrend), confirming that the current trend is continuing. BOS is used to identify trend direction and potential entry points.
How the Break of Structure Forms
- 1Identify the current trend direction
- 2Mark the most recent swing high and swing low
- 3Wait for price to break the relevant swing point
- 4Confirm with a candle close beyond the level
How to Confirm the Pattern
✓Candle body closes beyond the swing point
✓Volume confirms the break
✓No immediate reversal back inside
✓Follow-through in the direction of break
Best Timeframes for Break of Structure
5M15M1H4HDaily
How to Trade the Break of Structure
- →Confirm trend continuation
- →Identify entry points after pullbacks
- →Set bias direction for trading
- →Combine with order blocks for entries
Common Mistakes to Avoid
✕Confusing BOS with Change of Character
✕Trading against the structure break
✕Not waiting for candle close confirmation
✕Ignoring higher timeframe structure
Detect Break of Structure Automatically
VaultCharts automatically detects Break of Structure patterns on your charts. No manual analysis needed - the pattern is highlighted with entry zones and targets.