How Do I Trade Upward Trend Line Reversal Signals Combined with Double Top Reversal Chart Patterns Trading Setups

Upward Indices Trend Reversal Signals and Double Tops Reversal Chart Patterns Strategy

Up Indices Trend Reversal

When trading price breaks-out below the upwards trendline (support) stock market will then move downward

How Do You Trade an Up trend Reversal? - Strategy for Trading a Upward Indices Trend Reversal

Upward Indices Trendline Break

After stock trading price has moved in an upwards direction for an extended period of time within a up trend it reaches a point where it stops moving within upwards trend. When this occurs we say the upward trend line has been broken and this is interpreted as a upward trend reversal.

Since the upward trend line is point of support and this point of support has been broken after a up trend line break - we then expect stock trading price to move down-wards towards the opposite direction and this is interpreted as a up trend reversal.

This reversal signal can be combined with the double tops reversal chart patterns explained below:

Combining Upward Trend-Line Reversal Trade Signals with Double Top Reversal Patterns

A good trade setup to combine upward trend reversal setup with is the double top stock patterns - Double Tops Reversal Chart patterns Guide.

Double tops reversal patterns setup should already have formed before the up trend line break signal. Because these double tops are also reversal signals, then combining these two trend reversal setups will give traders good probability to avoiding a indices whipsaw.

In the above up-ward trend reversal setup these double tops reversal setups can be confirmed to have formed even before the trendline reversal stock trade signal popped up.

Example of Upwards Direction Reversal - the Double tops reversal pattern had already formed before upwards trendline break signal appeared on the chart.

Combining Upward Indices Trendline Reversal Trade Signals with Double Top Reversal Chart Setups