Double Top Reversal Strategy

Double Top Strategy

Double tops upward metals trend reversal strategy is a reversal metals trading pattern which forms after an extended metals upward metal trend. As its name implies, this reversal strategy is made up of two consecutive peaks that are roughly equal, with a moderate trough between.

Double tops upward metals trend reversal trading strategy is considered complete once metals price makes second peak and then penetrates lowest point between the highs, called the neckline. The sell metals signal from this up metals trend reversal trading strategy occurs when the metal market breaks-out below neckline.

In Metals, Double tops upward metals trend reversal strategy is used as a early warning metals signal that a bullish upward metals trend is about to reverse.

However, Double tops upwards metals trend reversal trading strategy is only completed once the neckline is broken and the metal market moves below the neckline. Neckline is just another name for last support level formed on the metals chart.

Summary:

• Double tops upwards metals trend reversal strategy Forms after an extended move upwards
• This Double tops upwards metals trend reversal strategy formation indicates that there will be a reversal in the metal market
• We sell when metals price breaks below the neckline point: see below for explanation.

Metals Trading Up Metals Trading Trend Reversal Strategy - Double Tops Reversal Strategy

The double tops look like an M Shape, the best reversal metals signal is where the second top is lower than the first one as displayed on the metal trading examples illustrated and described below, this means that the reversal metals signal can be confirmed by drawing a downwards metals trend line as shown below.

Double Tops Metals Trading Trend Reversal Metals Trading Strategies