What is a triple bottom pattern?

A triple bottom pattern is a bullish reversal chart pattern that is formed at the end of a downtrend. It appears rarely, but it always warrants consideration, as it is a strong signal for a significant uptrend in price.

What is a double bottom reversal pattern?

The double bottom pattern is a bullish reversal pattern that occurs at the bottom of a downtrend and signals that the sellers, who were in control of the price action so far, are losing momentum. The pattern resembles the letter “W” due to the two-touched low and a change in the trend direction from a downtrend to an uptrend.

What are the best double bottom patterns?

It is generally considered that two consecutive bottoms with a short duration in between their creation can be problematic, as this means that the downtrend is very strong, thus, the prevailing bearish trend is likely to continue. For this reason, the most effective double bottom patterns are those with a certain amount of time in between two lows.

How do you know if a low is a double bottom?

The clue to watch for is another bottom around the earlier low, followed by bullish confirmation in subsequent periods, for example, days or weeks. Such patterns are most readily visible on daily and weekly charts. Must the Two Bottoms of the Lows in the Double Bottom Pattern Be the Same?