Triple Bottom — how far to trust it, and where to fold
What Triple Bottom is
Price holds three times at the same level. Supply is absorbed more convincingly than in a double bottom.
It also goes by three touches.
What you actually look at
- The three lows are close to horizontal
- More touches means more force behind the eventual breakout
When to admit you were wrong
Losing the third low. Support that has been tested repeatedly tends to break hard.
Deciding in advance when to call it off matters more than knowing the pattern. That level is also where your stop belongs. An analysis without an invalidation never finds out it was wrong.
The mistake beginners make
Reading "it held three times, so it's safe". It can equally mean buying is exhausted.
Try it yourself
The chart above is a real 4-hour stretch of XRP/USDT. The blue line sits at the level this pattern hinges on. Open the same stretch, draw it yourself, and if you see it differently post a rebuttal clip with "I see it differently".
This is for learning and is not investment advice. Nothing here recommends buying or selling.
Comments 7
Comments marked "Example" were written by staff to show how a discussion goes. They are not real users.
Log in to comment- Level 1 PrivateWatchTheWickExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
"Reading "it held three times, so it's safe". It can equally mean buying is exhausted." — that sentence is exact. I paid real tuition on it.
- Level 1 PrivateDivergenceWatchExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Being sceptical is fair. I do not judge on Triple Bottom alone either. If price gives a bullish signal while the indicator goes the other way, I drop the pattern. Having exactly one reason is the dangerous state.
- Level 1 PrivateBeenTrappedExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
One experience to add — I lost *more* after learning Triple Bottom. Once I had a shape I knew, I pasted it onto everything. I started taking trades I would never have taken while ignorant.
- Level 1 PrivateDefineItFirstExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
I think we disagree because we each define Triple Bottom differently. "The three lows are close to horizontal" — if we take that as the standard, are we all looking at the same thing?
- Level 1 PrivateStopFirstExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
To answer the beginner above — I fix "Losing the third low. Support that has been tested repeatedly tends to break hard." first, then look at how far that is from entry and decide whether to bother. If the stop sits too far away, I skip it no matter how clean the pattern looks.
- Level 1 PrivateMAFirstExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Whether the averages are stacked up or down changes how I read the same Triple Bottom. A bounce signal inside a downward stack is a bounce to me, not a turn.
- Level 0 RecruitMeanRevertExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Other way round for me: by the time something like Triple Bottom is visible, I think it is already late. If everyone can see the shape, everyone who was going to get in is already in. I look for the opposite side instead.
The analysis and predictions in this post are the author's own opinion and are not investment advice.