Learning Hub
Double Top
bearish
Definition
Two peaks at a similar level — buyers fail twice at resistance.
Psychology
Price tried the same high twice and failed both times. Sellers defend it.
Real-life analogy
💡 Bumping your head on the same ceiling twice and giving up.
Expected direction
down
Entry / Stop / Target
Entry: On a close below the trough between the peaks. · Stop: Above the second peak. · Target: Peak-to-trough height projected down.
Historical behaviour
Reliable after an extended uptrend.
Illustrative success rate
~65-70% after neckline break · High reliability
Common beginner mistakes
- • Shorting at the second peak before confirmation
Quick quiz — did you understand?
1. Is the Double Top generally considered bullish, bearish, or neutral?
2. After a confirmed Double Top, the expected direction is usually:
3. Which is a common beginner mistake with the Double Top?
Educational and probability-based analysis only. This is not financial advice and not a prediction of real market outcomes.