Rounding Tops and Bottoms
A 1-minute lesson from the MarketPro academy, one of 22 in chart patterns.
Rounding bottoms and rounding tops are gradual, curved reversal patterns that reflect a slow, steady shift in sentiment rather than a sharp turning point, tracing out a smooth "bowl" or "dome" shape on the chart. A rounding bottom develops after a decline, as selling pressure gradually eases and buying interest slowly builds, curving price back upward over an extended period.
Rounding bottoms and rounding tops are gradual, curved reversal patterns that reflect a slow, steady shift in sentiment rather than a sharp turning point, tracing out a smooth "bowl" or "dome" shape on the chart.
A rounding bottom develops after a decline, as selling pressure gradually eases and buying interest slowly builds, curving price back upward over an extended period. A rounding top is the mirror image, forming after an advance as buying pressure slowly fades and selling gradually takes over.
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Lesson 14 of 22 in Chart patterns
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