Double Top
Two peaks at the same price after a rise, separated by a clear valley; completes on a close below the valley low.
The double top ("M") is two failed attempts at the same high. Bulkowski's rule: the pattern is only complete when price closes below the low between the peaks, the confirmation line drawn here as the neckline.
Most twin peaks never confirm; only the close below the valley counts. Rectangles that happen to show two peaks are listed as rectangle tops.
How we define it
- Two zigzag peaks (swings of at least 2 ATR) within about 0.4 ATR of each other, nothing above them in the pattern
- Valley at least 4 ATR and 5% (4H) / 8% (1D, 1W) below the peaks; peaks and valley legs of similar width
- Price rallied into the first peak (prior trend up)
- No close above the peaks and no close below the neckline before the breakdown
- Minimum length: 2 months on 1D, 3 months on 1W, 10 days on 4H
- Breakout (up) / breakdown (down): the first candle close beyond the boundary by at least 3% on 1D and 1W (1.5% on 4H)
- Failed breaks: a breakout or breakdown that closes back inside the boundary within 6 candles on 4H, 5 on 1D or 3 on 1W is removed from the list
- Trend filter: breakouts only above the 200-period EMA (40-week EMA on 1W), breakdowns only below it
- Watchlist: the pattern is complete but unbroken and price is within 3% (or 1 ATR, at most 6%) of the boundary
No recent breakout or breakdown
No double top has completed recently. See all patterns.
Nothing on the watchlist
No mature double top is close to its breakout or breakdown level right now.