Double top

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Related to double tops: triple top

Double top

A term used in technical analysis to refer to the rise of a stock's price, a drop, and then a rise back to the same level as the original rise. The pattern looks like the letter M. In technical analysis, this pattern is interpreted negatively suggesting that there is some resistance level (top of the M) whereby the stock can't go higher.

Double Top

A situation in which a security's price peaks, drops back down, then peaks again at the same price as before. For example, a stock may rise to $30 per share, drop to $27, then rise back to $30. A double top is useful in identifying a resistance level, which is a price above which a security has difficulty rising. This, in turn, can be helpful in finding buy signals and sell signals.

double top

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double top
In technical analysis, a chart formation indicating stock price resistance level and characterized by a stock price reaching a single high price on two different occasions. The price level represented by the double top becomes a resistance level through which the stock will later have difficulty breaking below. Compare double bottom.

Double top.

Double top is a term that technical analysts use to describe a stock price pattern that, when depicted on a chart, shows two gains to the same dollar level separated by a price drop.

For example, if a stock that had been trading at about $28 a share rose to $35, dropped back to trade at about $28 for several weeks, and then rose to $35 again, analysts would identify $35 as a double top.

An analyst observing this pattern might conclude that investors were comfortable paying $35 for the stock, and that the price might not rise above that level in the near term. In technical terms, the analyst would say that there was resistance above that price. However, there's no way to predict whether the price would in fact remain at $35 or gain value and hit new a high.

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It was a really hard game but I produced the right finishes at the right time," said Wade, who hit eight of his nine attempts at double top during the game.
But the Watford man landed double top in the fourth to send the match its full distance.
Walsh won the second but missed two clear chances at double top to take the third and Webster stepped in to nail the same double.
Thrower That put Webster one leg away from victory and he hit double top once more to seal a superb win.
His opponent took a surprise 2-1 lead with a perfect single dart for double top but Anderson showed his class by scraping double one to level.
The 'Wizard of Oz' Whitlock produced a 12-darter to take the opening set 3-0 before Fitton levelled by taking the second set 3-0, finishing with a double top.
Anderson had chances to make it five wins out of five in his debut season but missed two shots at double top in the 13th leg to let Taylor secure at least a draw.
The second seed then followed up with a superb 117 finish, completed on double tops, racing ahead in the next leg but missing two darts for double eight before making sure at her next visit.
INDICATOR OF THE DAY" - DOUBLE TOPS Eur/Jpy looks to have found some resistance by 126.
While these two stocks are higher, both ran into major double top resistance points and have stalled out.
After inching higher almost every day since then, the stock reached the double top today, crossing it briefly.
note how the price action (large black arrows) in this double top will form the capital letter "M".