Triple Bottom
BullishReversalIntermediateSellers hit the same floor three times and run out of ammo.
Verdict: UseBitcoin 4H: 1 trades, won 0%, avg trade −10.8% vs random day +1.1% (too few trades to judge). Backtest
Price falls to a low, and buyers bounce it.
step 1/7
Trade rules
| Direction | Long (buy) |
|---|---|
| Entry | After the third bottom is confirmed (a full 4% swing on Bitcoin, 5% on stocks), a candle CLOSES above the higher of the two peaks, within the time between bottom 2 and bottom 3 plus 5 candles. |
| Cancelled if | Price trades below the lowest of the three bottoms before that close. |
| Target | Same height, projected from the breakout |
3 common mistakes
- Buying the third bottom before resistance breaks.
- Using the lower peak as resistance: the pattern breaks at the higher one.
- Ignoring the trend: a triple bottom needs a decline before it to reverse.
Backtest
same rules every time · equal size · no fees · method| Market | Trades | Won | Avg trade | Random day |
|---|---|---|---|---|
| Bitcoin · 4H · 2017-2026 · too few trades to judge | 1 | 0% | −10.79% | +1.05% |
| US large caps (50) · 1D · 2016-2026 | 21 | 86% | +4.48% | +1.47% |
Verdict: UseMade money and beat a random entry on US large caps. Bitcoin had too few signals to judge.
pattern +94%random +31%