Learn / Buy and sell signals
Ascending Triple Top and Descending Triple Bottom
A staircase of consecutive breakouts.
The Ascending Triple Top and Descending Triple Bottom are trend patterns. Instead of breaking one level after several tests, price breaks out again and again, like climbing (or descending) a staircase.
Ascending Triple Top
The rule: three consecutive X columns, each breaking above the top of the X column before it, with each O column bottoming higher than the last.
It's three Double Top buy signals in a row. Each pullback is shallow and each rally makes a new high. This is what a healthy uptrend looks like on a P&F chart, and the pattern signals steady, persistent demand.
Descending Triple Bottom
The rule: three consecutive O columns, each breaking below the bottom of the O column before it, with each X column topping lower than the last.
Three Double Bottom sell signals in a row. Every bounce fails at a lower level, a sign of persistent supply.
Using these patterns
- These patterns confirm a trend is in place more than they mark the start of one.
- The longer the staircase continues, the more stretched the move can become. Watch for the first opposing signal; after a long, orderly staircase, that's a Signal Reversed pattern and deserves attention.
For education only. Nothing here is investment advice or a recommendation to buy or sell any security.