- Triple Top Reversal Pattern
A Triple Top is a typically longer term pattern where price action, within the context of an uptrend, has the most recent swing/pivot high being equal or nearly equal in price to the previous two swing/pivot highs that are also equal or nearly equal in price.
The Triple Top pattern can be formed because the sentiment that was formerly producing the uptrend is now possibly shifting and buying pressure is not strong enough to produce a higher swing high to keep the uptrend intact.
Triple Tops can be a stronger bearish reversal pattern after further confirmation when the next swing/pivot high that is produced is even lower.
Much like a double top pattern, technical analysts will use Triple Tops to begin trying to find new selling opportunities as well as to avoid buying the asset until a new buy setup is formed.
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