Is Double Bottoms Pattern Bullish or Bearish?

Double Bottoms XAUUSD Chart Pattern

Double Bottoms Gold Chart Pattern is a Bullish XAUUSD Chart Pattern - Double Bottoms Pattern is a Bullish Gold Trading Signal Pattern

Summary:

• Double bottoms xauusd chart pattern forms after an extended move downwards - gold downwards trend
• This Double bottoms xauusd chart pattern formation indicates that there will be a reversal in the xauusd market
• We buy when xauusd price breaks above the neckline; as explained on the xauusd trading example illustrated and explained below.

What Does a Double Bottoms Gold Chart Pattern Mean?

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

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

Technical Analysis of Double Bottoms Gold Chart Pattern