Technical Glossary / Chart Patterns

Triple Bottom

Three holds of the same low, completed by a break of the resistance above them.

Resistance

Teaching sketch. It shows the shape, not a live quote and not a trade signal.

Definition

A triple bottom is three tests of one demand area, then a close above the peaks that separate them. It is the bullish mirror of the triple top.

How to identify it

Three troughs in the same zone, with rallies between them that stall near one another. The trigger is that shared resistance, not the third low itself.

Bullish reading

The completion close is above resistance. Risk is under the most recent low. The third hold is evidence of demand. The break is the evidence that demand won.

Bearish reading

A close under the triple low resumes the downtrend and retires the pattern.

Common mistakes

Buying the third touch inside the range and calling the pattern complete.

Limitations

Ranges produce many triple-looking lows. Require a prior trend you are reversing, or treat it honestly as a range break.

This note explains the term. A sketch shows the shape of the idea. Neither is a recommendation, a signal, or a comment on any security. Indicator settings and exchange conventions differ. Check the live chart and the contract specification before you use a number.