In trending markets it is often good to have a break out strategy that can catch the trend. The following is a trend break out trading strategy that may interest you. First the chart set up: Renko 8 tick/brick charts with a swing indicator of 8. These chart setting may need adjusting depending of the volatility of the instrument you are trading – but these setting seem to work best for me. The Renko chart will help filter out time so the swing indicator will not give false breakouts. The following is the trade flow:

Trade setup: Look for the market to be trading between the swing high and low, with a difference of  40 to 60 pips, not more as the swing range is too wide and your stops will need to be too big and risky. You can adjust this range lower to ensure a higher percentage trade. Then look for a breakout that is out side the swing high and low bands. This break out needs to occur preferably when there are no other recent higher highs or lower lows (i.e. new highs or lows of the day).

Entry 1: Go long (or short) on the first completed Renko bar outside the swing high/low lines.

Entry 2: Go long (or short) after the break high/low has a retrenchment to 50% of the distance of the swing high and low (if possible/needed).

Stop: The stop is just below/above the opposite the swing high/low line from the swing high/low line that created the break out.  A trail stop of 15 pips should be considered once above break even.

Profit targets: the profit target should be a 1 pip to 1 pip ratio from the stop. The idea is to win 60% of the time.

I think you get the idea of the strategy, you may need to play around with the paramters to get the optimum results (see thumbnail example).  As always let me know how this works for you.