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Double Bottom

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The Double Bottom Pattern is a bullish formation.


After price makes a new (relative) low, it retraces until it finds resistance, continues back to that previous low, and reverses once again to new highs.


Both the left bottom (first low) and the right bottom (second low) should be roughly even, signaling clear support and buying pressure.


When the market confirms new lows aren't ready to be made through a double bottom, it will test the previous level of resistance and frequently move above it as buyers outnumber sellers.

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