CG Power attempted a breakout above the VRZ High zone and briefly traded above resistance, attracting breakout buyers.
However, the breakout failed almost immediately. Price slipped back below the VRZ level, confirming a BOF short setup. Once the failure was established, sellers dominated the session and the stock entered a sustained downtrend.
Unlike many trades that achieve their target quickly and reverse, this setup continued to make lower highs and lower lows throughout the day, offering traders the opportunity to trail profits and capture a large move.
The biggest BOF winners often start with a small failure.
When a breakout attracts maximum participation but cannot sustain itself, the trapped side is forced to exit, creating momentum in the opposite direction.
This CG Power setup is a classic example of how a failed breakout can evolve into an all-day trending move.
The initial risk was small, but the downside move kept extending throughout the session. Traders who followed their plan and managed the position logically had the opportunity to extract multiple times their initial risk.
Result: ✅ BOF Success | Strong Intraday Trend | CG POWER (5-Minute Chart)
