Sometimes the price line forms an inverse head and shoulders within the diamond bottom. - A diamond bottom pattern is very difficult to spot, and often forgotten by traders. - The first half of a diamond bottom is a symmetrical broadening wedge pattern (continuation pattern) while the diamond bottom (the 2 halves together) is a reversal pattern.
What are diamond bottoms?
Diamond bottoms are diamond shaped chart patterns. Read more for performance statistics and trading tactics, written by internationally known author and trader Thomas Bulkowski.
Is a diamond bottom a reversal pattern?
A diamond bottom pattern is very difficult to spot, and often forgotten by traders. - The first half of a diamond bottom is a symmetrical broadening wedge pattern (continuation pattern) while the diamond bottom (the 2 halves together) is a reversal pattern. For your information: A diamond bottom is a reversal chart pattern.
