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📊 Price Action·advanced

Break of Structure

Also called: bos, structure break

When price breaks above a prior swing high (bullish BoS) or below a prior swing low (bearish BoS) — the moment a trend confirms or reverses.

A break of structure is the moment market structure changes direction. In an uptrend, a bearish break of structure happens when price drops below the most recent higher low — that's the first confirmation the uptrend may be over. In a downtrend, a bullish break of structure happens when price rallies above the most recent lower high. BoS is one of the cornerstone concepts of Smart Money / ICT trading. It tells you when to flip your bias. Until structure breaks, the trend is still in force. Once structure breaks, you start looking for setups in the new direction. The entry technique is to wait for a pullback after the BoS. Don't chase the break — wait for price to retest the broken level (now flipped from support to resistance, or vice versa) and enter on confirmation. This gives you a clean stop and a measurable target.
Real trade example

USD/JPY printed a clear bearish BoS in July 2024 when the daily chart broke below the 158.30 higher low. The retest at 158.20 the following day delivered a clean short entry that ran to 145 — over 1,300 pips of follow through.

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