What Does a Double Top Chart Pattern Look Like?

Double Tops Chart Pattern

Double Top Chart Pattern is a Bearish Gold Chart Pattern - Double Top Pattern is a Bearish XAUUSD Signal Pattern

Summary:

• Double tops xauusd pattern forms after an extended move upward - upwards xauusd trend
• Double tops xauusd chart pattern signal indicates that there will be a reversal in the xauusd market trend
• We sell when price breaks-out below the neckline: as described on the gold trading example shown below.

XAUUSD Trade a Double Top Chart Pattern in XAUUSD?

Double tops xauusd pattern look like an MShape pattern, the best reversal xauusd trading signal from the double top pattern is where the second top is lower than the first top as illustrated and shown below:

This means that the reversal xauusd signal can be confirmed by drawing a downwards xauusd trend line as shown below. If a trader opens a sell xauusd trade using this double tops reversal xauusd signal the stop loss will be placed just above this downwards trend line.

Analysis of Double Top Chart Pattern - Example of Double Top Chart Pattern