Two of the basic patterns
to look out for in charts in technical
analysis. A double bottom occurs when the price falls twice to the same level
and fails to penetrate; it is regarded as a signal of good support.
Equally, a double top occurs when the price twice rises to the same level but
fails to penetrate; this signals considerable resistance
to the price moving yet higher. Either may indicate a reversal in the recent trading
pattern, possibly the switch from a bear
to a bull market or vice-versa.