The Difference Between a Break of Structure and a Change of Character

Market structure concepts help traders understand potential changes in directional behaviour.

A Break of Structure (BOS) generally refers to price breaking a significant swing point in the direction of the existing trend.

A Change of Character (CHoCH) is commonly used to describe an early structural break against the previous directional movement.

However, terminology can vary between trading methodologies.

Remember: Not every minor swing break represents a meaningful trend reversal.

Do you use BOS and CHoCH in your trading analysis?