Mastering Chart Patterns: A Comprehensive Guide to Technical Analysis in Trading
In highly volatile markets such as cryptocurrencies, the double pattern must be analyzed with stronger confirmations due to the frequent occurrence of false breakouts. Using volume, higher time frames, and confirmation candles around the neckline area is of greater importance. At first glance, the double top pattern looks very similar to the head and shoulders pattern, but the main difference lies in the taller middle peak in the head and shoulders structure. When combined with tools such as RSI or Moving Average, it enhances analytical strength and plays a key role in double top technical analysis. In stocks, double tops…