Triple Top Pattern
Learn to recognize and trade a triple top pattern through interactive charts.
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What is a triple top pattern?
A triple top is a bearish reversal pattern, which points to a downtrend ahead. As it forms, this pattern may initially look like a double top or a rectangle.
Interactive charts:
- Invesco Solar ETF (TAN) Triple Top stocks
- Revlon (REV) Triple Top stocks
- Gold (GOLD) Triple Top metals
- US Copper Index Fund ETF (CPER) Triple Top metals
Download our free chart patterns PDF for a guide to 20 classical chart patterns with over 100 interactive charts, also on TradingView.com.
Triple top duration
A triple top usually forms over 3 to 6 months, a length of time that is typical of major reversals.
Triple top characteristics
A triple top is characterized by 3 peaks, followed by a break below support.
- A triple top happens after an uptrend.
- A triple top is characterized by 3 highs, which face resistance. These highs should stand approximately on the same level and be clearly spaced out.
- Price should also find support, temporarily, at the neckline which connects the peaks' lows.
Trading volumes
As a triple top demonstrates waning interest, you should expect trading volumes to fall over time. However, it is possible to see occasional spikes in volume around key support and resistance levels.
Triple top trading tips
The pattern completes once the price breaks convincingly below the neckline. Ideally, this break should happen on rising volume. Some traders wait for an unsuccessful re-test of the neckline before opening a short position. This means waiting for confirmation that the neckline acts as resistance, rather than support, over several trading sessions.
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