Why Can Breakouts on Higher Timeframes Go Further?

1. Significance of Support & Resistance: Support or resistance levels on higher timeframes are usually more important because they reflect prices that have been tested multiple times over a longer period. When the price successfully breaks through these levels, it signals a major change in the market.

2. Greater Confidence: Institutional traders and large investors often make decisions based on higher timeframes, so a breakout may be supported by larger trading volumes, providing more momentum.

3.Long-Term Trends: A breakout on a higher timeframe typically indicates the beginning of a long-term trend, meaning the price can move further in the breakout direction before a correction occurs.

4.Fewer False Signals: Higher timeframes tend to produce fewer false breakout signals compared to lower timeframes. This is because lower timeframes are more susceptible to short-term market "noise."