Double bottom

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Double bottom

A term used in technical analysis to refer to the drop of a stock's price, a rebound, and then a drop back to the same level as the original drop. The pattern looks like the letter W. In technical analysis, this pattern is considered a positive for the stock. The stock has bottomed out and the technical analysts would expect the stock to appreciate afterwards.

Double Bottom

In technical analysis, a situation in which the price of a security hits a low, rises 10-20%, and then hits roughly the same low before rising again. A double bottom in a relatively short period of time indicates that the low is a price support for the security. A situation where trading volume rises as the security increases from the second bottom is thought to be a bullish indicator. See also: W-shaped recovery.

double bottom

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double bottom
In technical analysis, a chart formation indicating stock price recoverability over time. It is characterized by a drop in a stock's price to a low level, a recovery in price, and a second decline to the previous low price. If the stock price recovers a second time, the low price reached at the two bottoms becomes a level of support for the stock. It is a bearish sign if the stock subsequently falls through this level. Compare double top.

Double bottom.

Double bottom is a term that technical analysts use to describe a stock price pattern that, when depicted on a chart, shows two drops to the same dollar amount separated by a rebound.

For example, if a stock that had been trading at about $28 a share dropped to $18, rebounded to trade at about $22 for several weeks, and then dropped to $18 again, analysts would identify $18 as a double bottom.

An analyst observing this pattern might conclude that investors were comfortable paying $18 for the stock, and that the price might not drop below that level in the near term. In technical terms, the analyst would say that there was support for the price. However, there's no guarantee that it might not drop further and hit a new low.

References in periodicals archive ?
Double bottoms new training building navigation MOS Bremerhaven / Bund.
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The oil companies and shipping companies did not want SBT or double bottoms to supplant LOT.
58) Most important, leading senators favored a double bottoms requirement on all oil tankers entering U.
Yet, while both chambers preferred to achieve the bill's ends through multilateral action, the Senate alone expected the Coast Guard to promulgate regulations governing tanker design to include double bottoms.
This provided clear evidence to oil majors and the shipping industry that the United States would force changes in tanker construction--if not necessarily the double bottoms requirement.
Why did the maritime states and industry feel confident resisting double bottoms but not SBT?
It extends the double bottom up the sides of the vessel to provide a second steel barrier between the cargo and the marine environment.
After giving effect to programmed deletions and committed additions, well over 90% of the OSG fleet will be protected by double hulls, double sides or double bottoms.
Tenders are invited for local technical infrastructure installations of the technical infrastructure of the premises and the service areas of the service areas covered incision Turtmann Martischeiju and the tunnel Riedenberg as: - Heating, ventilation, air conditioning, plumbing (HVAC) - Electrical installations (lighting, power, HVAC) - Double bottoms - Furniture, foreclosure,- 2 - part epoxy floor primer including 1200 m2 of - Acrylic joints and hybrid joints Brandschutzkittfugen 5500 m Metal construction (doors, windows, railings, crane) - Supply and installation of 22 pcs stainless steel doors - Supply and installation of handrails 60 m - Supply and installation of electrical.
After giving effect to programmed deletions and committed additions, over 90% of the OSG fleet will be protected by double hulls, double sides or double bottoms, and the average age of OSG's international tanker fleet will be less than half of that of the world fleet.
Currently, 10 ships in Mobil's fleet have double bottoms.