What Is a Triple Top?

A typical triple top usually occurs within a short period of time and breaks through the support line. Another type of confirmation triple top signal can be found in the overall volume. When the pattern is formed, the trading volume then decreases until the price rises to the third high again, and the trading volume starts to increase, forming a confirmation triple top signal.

Triple top

1. The distance between the peak and the peak of the triple top, or the bottom valley and the bottom valley need not be equal to time, and the bottom of the triple top need not be formed at the same price. ^[2]

1, also known as the three heads, one head more than the M head, three heads and

1, fell below

The first point is time. Under normal circumstances, the formation time of the three points of the triple top is more than 2 months, and the longer the time, the triple top pattern is more confirmed and more reliable. If this time is too short, It is easy to construct other forms. ^[3]

The second point is the shape. The biggest difference between the triple top and the general head and shoulders top is that the height of the three tops is almost the same. FXCM Global Gold Exchange said that if the 3 tops are from the left to the right, the 3 tops It is falling, then the triple top pattern will change to other. Therefore, compared with the head and shoulders shape, the triple top pattern will last longer and it is not easy to change to the inverted pattern.

The third point is that the triple top pattern is a top reversal pattern. Therefore, when the exchange rate fluctuates by 70% -100%, the triple top pattern will also be successfully constructed, and the confirmation will be more reliable when the increase rate is larger.

The fourth point is the fall of the triple top. When the exchange rate successfully broke the neckline, a vertical line was drawn from the top of the three tops to the neckline, and then it started at the point where it successfully broke the neckline. Measure the consistent length below, and the length at this time is the minimum range where the exchange rate is about to fall.