Is Double Bottoms Pattern Bullish or Bearish?
Double Bottom Trading Pattern
Double Bottoms Chart Pattern is a Bullish XAUUSD Chart Pattern - Double Bottoms Pattern is a Bullish Gold Trading Signal Pattern
Summary:
- Double bottom xauusd chart pattern forms after an extended move downward - gold downwards trend
- This Double bottoms xauusd chart pattern formation indicates that there will be a reversal in the xauusd market
- We buy when price breaks-out above neck line: as described on the xauusd example illustrated & explained below.
What Does a Double Bottom Pattern Mean?
The double bottom chart pattern look like a W Shape xauusd chart pattern, the best reversal gold signal is where second bottom is higher than the first bottom as shown below.
This means that the reversal gold signal from the double bottom pattern can be confirmed by drawing an upwards gold trend line as shown below. If a trader opens a buy trading signal the stop loss will be placed just below this upwards trend line.
Technical Analysis of Double Bottoms Chart Pattern
