Triple Top, Triple Bottom

A complete breakdown of how to successfully use triple tops and triple bottoms to find trend reversals.

Official Terminology

Triple Top – 3 equal and successive highs followed by a break of support following the last high. A bearish pattern.

Triple Bottom – 3 equal and successive lows followed by a break of resistance following the last low. A bullish pattern.

Overall Concept

Whether we are examining a triple bottom or triple top, everything is pretty much the same except for the difference in sentiment each gives.

In a triple top, a reasonable price target is the length between the highs and support.

The triple top and bottom are not complete until a breaking of their respective support or resistance. In order to limit risk, it is best to wait till a breaking has occurred before executing any trades.

Concept in Action

The chart above shows exactly how triple top looks and reacts after the third high. A triple bottom would resemble exactly the opposite of this chart.

While all three highs in a set do not have to be exactly equal, the closer they are the better chance of seeing more accurate results.

Important Notes and Reminder

• The pattern is not complete until breaking of support or resistance.
• A good price target is the distance between the triple set and point of breakout.
• A full triple top indicates a bearish sentiment; a full triple bottom indicates a bullish sentiment.