Is Double Bottoms Pattern Bullish or Bearish?

Double Bottoms Commodities Trading Pattern

Double Bottoms Commodities Trading Chart Pattern is a Bullish Commodities Chart Pattern - Double Bottoms Pattern is a Bullish Commodity Trading Signal Pattern

Summary:

• Double bottom commodity chart pattern forms after an extended move downward - commodities trading downward trend
• This Double bottom commodity pattern formation indicates that there will be a reversal in commodities market
• We buy when commodities trading price breaks out above neck-line: as described on the commodity example illustrated and explained below.

What Does a Double Bottom Commodities Trading Pattern Mean?

The double bottom commodity chart pattern look like a W Shape commodity chart pattern, the best reversal commodity signal is where the second bottom is higher than the first bottom as shown and illustrated below.

This means that the reversal commodity signal from the double bottoms commodity chart pattern can be confirmed by drawing an upwards commodity trend line as shown below. If a trader opens a buy commodity signal the stop loss will be placed just below this upward commodity trend line.

Analysis of Double Bottoms Commodities Chart Pattern - Example of Double Bottoms Commodities Trading Chart Pattern