A chart pattern that may indicate a pending rally.

Double Bottom

Double Bottom formations reflect a failure to extend a downward trend further than the previous low. If the market then rallies above the previous high level, it may suggest that the market has “bottomed” and a rally is pending.

The mirror image of this chart pattern is the double top.

 

You need to log in to vote

The blog owner requires users to be logged in to be able to vote for this post.

Alternatively, if you do not have an account yet you can create one here.

Powered by Vote It Up