What indicators does the Double Top / Double Bottom strategy use?

The Double Top / Double Bottom strategy uses the following indicators: S/R Detection, RSI Divergence. These can be configured directly in AlgoBars AlgoBuilder.

What timeframe works best for Double Top / Double Bottom?

The Double Top / Double Bottom strategy is best traded on the 4H–Daily timeframe. This can be adjusted based on your trading style and market conditions.

📐 CHART PATTERN STRATEGIES · STRATEGY TEMPLATE

Double Top / Double
Bottom

Price tests the same level twice and fails, creating an M-shape (top) or W-shape (bottom). Highly reliable reversal signal.

Chart Pattern4H–Daily2.5:1 R:R

Deploy This Strategy See Rules

Rules & Configuration

The full rule set, required indicators, suggested configuration, execution flow, and performance parameters for the Double Top / Double Bottom setup.

Price tests the same level twice and fails, creating an M-shape (top) or W-shape (bottom). Highly reliable reversal signal.

Indicators Used

S/R DetectionRSI Divergence

Rules

📈 Double Bottom Long

Two distinct lows at approximately the same price
RSI divergence (higher low on indicator)
Enter on break above the middle peak (neckline)
Target: Pattern height from neckline

📉 Double Top Short

Two distinct highs at same level
RSI divergence (lower high on indicator)
Enter on break below neckline

Double Top / Double Bottom

Rules & Configuration

More Chart Pattern Strategies Strategies

Double Top / Double
Bottom