The rule for this example
For this exercise, a retest must come after a candle closes above the line. A later candle must trade at or below the line and finish above it. This gives you two events to find in order.
Show exact candle values
| Candle | Open | High | Low | Close |
|---|---|---|---|---|
| A | 147 | 150 | 146 | 149 |
| B | 149 | 154 | 148 | 153 |
| C | 153 | 155 | 152 | 154 |
| D | 154 | 155 | 149 | 152 |
| E | 152 | 153 | 148 | 149 |
Try it
Which candle first qualifies as a retest after the breakout?
Reveal the worked answer
B closes above 150 at 153. C stays above it, with a low of 152. D is the first to revisit the level and close back above it. E also crosses the line, but closes below it at 149.
What to watch for
The first pullback after a breakout may stop short of the level. Check the low to see whether it actually revisited the line. A qualifying retest does not tell you what the next candle will do.
Play a practice round