Right after BOS is confirmed, do you enter in the direction of the trend, or do you wait for the price to pull back? This is one of the common judgments in trend following.

Moreover, pullbacks do not always occur at the same depth.
Sometimes the price extends after the breakout with little retracement, while other times it retraces deeply toward moving averages (MA), FVG, or near Order Blocks.

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CHoCH is a factor showing that there has been a change in the price structure up to that point.
On the other hand, BOS confirms a new high/low in the direction of the structure and provides a clue for continuing the trend.

Both are important pieces of information, butthe confirmation of CHoCH/BOS and a favorable entry position are separate issues.
If the price has already moved strongly at the breakout, there is a possibility of a pullback in the opposite direction immediately after.

The main example is USDJPY on a 5-minute chart.
CHoCH▲ confirms from the downside, but above there is an Order Block region, so the rise may not continue as is.

DWMWhen overlaid, after CHoCH▲, price is capped near the upper Order Block, and then from the convergence of the execution candle and higher-time MA, it transitions to a downward-expansion movement.

As the decline progresses, BOS▼ continues, but the retracement after the initial BOS▼ is shallow, and in the next phase there are cases where it retraces deeply toward the vicinity of the FVG.
The depth of the pullback is not constant even within the same trend.

Also, note that the BOS label on the chart is displayed on the side of the breached high/low.
It is also important not to confuse the label’s position with the price at which execution should be considered or the moment BOS is confirmed.

In either case, you must first considerwhere to place the stop loss and how much profit potential there is from that point.
A strong trend does not guarantee that a breakout is advantageous, nor does a deep pullback guarantee a safe entry on a dip.

On GBPAUD’s 15-minute chart, after CHoCH▲ is confirmed, a slight pullback precedes a renewed ascent.
If you require a deep retrace to the mid/long-term MA, you may miss such price action.

However, it doesn’t mean you buy just because the pullback is shallow.
Check the relation to the most recent pullback low or the level that was broken, anddetermine whether the assumptions would be invalidated.

Even for the same GBPAUD, the 1-hour timeframe shows a different development.
After CHoCH▲, price retraces significantly, then moves down toward the Order Block, and after that, the ascent resumes.

Just because it goes below the short-term MA does not automatically negate an upside scenario.
Consider the larger DowWave structure, higher-timeframe direction, and relation to the pullback low.
That said,you cannot precisely know the bottom of a pullback in advance

The idea of waiting for a pullback is not limited to just after BOS.
On GBPUSD’s 15-minute chart, downward movement yields CHoCH▲, followed by upward movement, and BOS▲ is also confirmed.

However, CHoCH does not always lead to BOS afterward.
Also,DWMrecords that BOS can occur without CHoCH in some cases.
It is important not to treat a fixed display order as an entry rule; rather, capture price action as a whole.

Conversely, there are cases where CHoCH occurs but the trend does not continue.
On GOLD’s 15-minute chart, CHoCH▼ appears, followed by a confirming upward BOS▲.

If the evidence is lacking, the stop is too far, or the profit potential is small,
such scenarios includethe option to pass on the entry.

DowWave Marker (DWM)is a discretionary-trading-oriented environment recognition indicator focusing on visualizing market structure based on Dow Theory.
By centering CHoCH and BOS displays, you can combine execution candles, higher-time MA, FVG, Order Block, and important price levels to organize the market.

DWMis not something that automatically decides “buy” or “sell.”
It is intended as a supportive tool to capture structure and consider where the price currently is..

Please check CHoCH, BOS, MA, FVG, and Order Block as introduced in this example on your own chart as well.
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If breakout momentum is strong, the trend may continue as is.
However, there are shallow and deep pullbacks, and a single method cannot cover all scenarios.

By verifying market structure with CHoCH/BOS and organizing the current price level using MA, FVG, and Order Block,
then decide whether to consider a breakout, wait for a pullback, or pass on the trade.