: A temporary high is formed before price drops again.
To trade the chart pattern, you must identify its "W" shape following a downtrend , which signals a potential bullish reversal. The pattern is confirmed only when the price breaks above the neckline —the resistance level formed by the peak between the two lows. 1. Identification and Structure Trading chart patters How to Trade the Double B...
: The pattern must occur after a sustained downward move. First Trough : Price hits a low and rebounds. : A temporary high is formed before price drops again