Trading glossaryReviewed 16 July 2026
Definition
A break and retest is a conditional setup that waits for price to cross a chart area and then revisit it before considering entry.
In market context
The approach treats the revisit as new evidence about whether former support or resistance has changed role, rather than assuming every breakout will continue. A valid process must define the boundary, acceptable retest zone, confirmation, invalidation, and maximum waiting period before observing the outcome. Price may never return, may pass directly through the area, or may create a false confirmation before reversing.
Source
Use the primary source for fuller regulatory or market context.