# False Breakout False Breakout is an indicator on [Vela](https://vela.luxalgo.com/chart), our next-generation charting platform, written in Pine Script®. The definitive clean build of false breakout detection: confirmed swing highs and lows become watched levels, a break starts a failure watch, and a close back inside within the window confirms the trap. Bull Trap and Bear Trap labels mark the extremes, shaded zones frame each failed excursion, and an optional filter demands heavy re-entry volume. - Indicator in the LuxAlgo Library, by LuxAlgo, published May 18, 2026. - Access: free. - Concepts: [False Breakout](https://www.luxalgo.com/library/concept/false-breakout/) (primary) - Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=aombzcua45mcj39d5k7f0q33 - Page: https://www.luxalgo.com/library/indicator/false-breakout/ **False Breakout** is the definitive clean build of the [false breakout](https://www.luxalgo.com/library/concept/false-breakout/) study: it watches confirmed swing levels for breakout attempts and classifies each as genuine or failed. A break beyond a level opens a failure window; a close returning to the original side inside that window confirms the trap, while price holding beyond retires the level as a genuine breakout. Confirmed failures are boxed from the broken level to the false-break extreme and labeled there. ## How to Trade the False Breakout? - **Bull Trap**: a break above resistance that closed back inside. Breakout buyers are trapped, and the classic read is a fade back across the range. - **Bear Trap**: the mirrored failure below support, trapping breakdown sellers. - **Zone's outer edge**: the false-break extreme is the commonly used stop when fading, since a return beyond it revives the breakout case. - **Same-bar confirmation**: with the Wick trigger, a poke beyond the level that finishes back inside confirms immediately. Each side fires its own alert, plus a combined any-trap stream. ## False Breakout Settings - **Swing Length** (default 20): bars left and right confirming the swings that become watched levels; larger values keep only significant boundaries. - **Break Trigger** (default Close): Close starts the failure watch only once a bar closes beyond the level, the stricter school; Wick starts it on any intrabar poke. - **Failure Window (Bars)** (default 5): maximum bars beyond the level for a re-entry to still count as a failure. - **Require Heavy Re-entry Volume** (default off) with **Volume Average Length** (default 20): only confirms traps whose re-entry bar trades above its trailing average volume. - **Show Swing Levels**, **Show Trap Zones** and **Show Trap Labels** (all default on) control the visuals. ## Frequently Asked Questions ### Is a false breakout the same as a Wyckoff spring? A [Spring](https://www.luxalgo.com/library/indicator/spring/) is the accumulation-specific case: a failed probe under range lows inside a Wyckoff narrative. This build applies the same failure logic symmetrically to the most recent confirmed swing levels on both sides (up to eight per side), no schematic required. ### Which break trigger should I use? Close is the stricter choice (one close beyond, then one back inside) and filters the most noise. Wick catches single-bar rejections Close never sees, at the cost of more marginal signals. ### What happens when the breakout is real? If price holds beyond the level past the failure window, the level is retired and its line ends at the break. No trap is drawn and no alert fires. The tool only speaks when a break fails. ## Related indicators - [Retest & Break Setup](https://www.luxalgo.com/library/indicator/retest-break-setup/) (Breakout-pullback-continuation): markdown at https://www.luxalgo.com/library/indicator/retest-break-setup.md - [Range Detector](https://www.luxalgo.com/library/indicator/range-detector/) (Trading Range): markdown at https://www.luxalgo.com/library/indicator/range-detector.md - [Fibonacci Ranges (Real-Time)](https://www.luxalgo.com/library/indicator/fibonacci-ranges-real-time/) (Trading Range): markdown at https://www.luxalgo.com/library/indicator/fibonacci-ranges-real-time.md - [Range Intelligence Suite](https://www.luxalgo.com/library/indicator/range-intelligence-suite/) (Trading Range): markdown at https://www.luxalgo.com/library/indicator/range-intelligence-suite.md - [Parabolic Phase](https://www.luxalgo.com/library/indicator/parabolic-phase/) (Market Structure): markdown at https://www.luxalgo.com/library/indicator/parabolic-phase.md - [Bart Pattern](https://www.luxalgo.com/library/indicator/bart-pattern/) (Trading Range): markdown at https://www.luxalgo.com/library/indicator/bart-pattern.md - [Range Average Retest Model](https://www.luxalgo.com/library/indicator/range-average-retest-model/) (Trading Range): markdown at https://www.luxalgo.com/library/indicator/range-average-retest-model.md - [Accumulation vs Distribution Ranges](https://www.luxalgo.com/library/indicator/accumulation-vs-distribution-ranges/) (Market Structure): markdown at https://www.luxalgo.com/library/indicator/accumulation-vs-distribution-ranges.md --- Source: https://www.luxalgo.com/library/indicator/false-breakout/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/