Why should I enter on the first red box ?

You are right, you wouldn't short there because the very next bar can be a strong bull reversal bar and the BO will have failed.

In other places in the course (can't remember where) and in the encyclopaedia you'll find Al say that you need a breakout below wedge AND follow-through before you can conclude that there is a more than 50% chance of a measured move down.

Everything depends on context though. If you have a very strong bear BO bar, and the next bar is a small bull bar, you may still decide that the BO has succeeded and hold on for an MM down. There are some such examples in the encyclopaedia.

Looking at the chart again, I'm thinking Al suggested shorting that bar possibly because the previous bull legs have been weak and there has been little buying pressure. Especially the last bull leg before Al's BO bar is very weak and got rejected at the MA, all of which adds to the context. 

Thanks for your inputs.

There are two trades there. The first short is below the bear bar with a low right on the trend line. Shorting below that bar therefore is a breakout. If you are unsure and want to wait for a better setup Al also shows a short on the next bar which would have better probability but more risk since the stop is further away. 

Yes, it makes sense now. 

Thanks a lot

😊

Harpreet - see my take at it, but could be wrong

Some additional annotations ... if i may 🫡

Dear Mike,

Thanks for your inputs.

😊

rookie trader here.

here's my additional 2 cents

Thank you dear "W".

😊