Break of structure (BOS) and change of character (CHoCH)
A break of structure is a close beyond the last swing. With the trend it is a BOS. Against the trend it is a CHoCH, the first sign the trend may be turning.
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On a real chart
How Arka Terminal marks it
- 01The swing path through confirmed highs and lows.
- 02BOS: a close beyond a swing in the direction of the trend.
- 03CHoCH: the first close beyond a swing against the trend, drawn dashed.
XAU/USD 30m candles, Oct 15, 2026 to Oct 19, 2026. Every drawing is Arka Terminal's AI Structure Analysis of these candles. Nothing is placed by hand.
The shape
Two breaks down, then one up
Lower highs and lower lows break support twice. The first close above a lower high is the change of character.
How to read it
01
Use the close
A break counts when a candle closes beyond the swing, not when a wick pokes through.
02
The swing must be confirmed
A swing high is only a swing once candles on its right have failed to exceed it.
03
BOS follows, CHoCH warns
A BOS in an uptrend breaks a high. A CHoCH in an uptrend breaks a higher low.
04
One CHoCH is not a new trend
A change of character says the trend may be turning. A BOS in the new direction confirms it.
Common mistakes
Counting wicks
Wicks through a swing that close back inside are liquidity grabs, not breaks.
Using unconfirmed swings
Marking a high before the market has turned from it makes every small move a break.
Trading every CHoCH
On a low timeframe, CHoCH appears often. Check it against the higher timeframe first.
In Arka Terminal
One switch in the structure panel
- Closed candles only
- The terminal confirms a swing after 8 candles on its right, then checks each close against it.
- Solid and dashed
- BOS is drawn solid, CHoCH dashed, in green for breaks up and red for breaks down.
- The turning price
- The panel names the last break and the swing whose close beyond would turn the structure.
- Free on every plan
- The analysis runs on your PC. It uses no AI credits.
- Ask about it
- Arka Copilot reads the switches you have on and answers with the same prices the chart shows.
Break of structure, marked on your own chart
- Free on every plan
- Sign in with your MT4 or MT5 account
- Nine structure switches, no AI credits
Questions
What is a break of structure?
A candle closing beyond the most recent confirmed swing high or low.
What is the difference between BOS and CHoCH?
BOS breaks a swing in the direction of the trend. CHoCH breaks a swing against it, the first sign of a possible reversal.
Does a wick count as a break?
Not in Arka Terminal. A break counts only when a candle closes beyond the swing.
Which timeframe should I use?
Any. Many traders read structure on 4 hours or daily and time entries on 15 or 30 minutes. The panel shows the last break on four timeframes.
Related terms
Market structure
- Smart money concepts
- Order blocks
- Fair value gap
- Break of structure
- Market structure
Candles
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