Triple Bottom

A triple bottom is a bullish reversal chart pattern that forms after an extended downtrend — consisting of three consecutive price troughs at approximately the same support level, separated by two moderate rallies to an intermediate resistance level (the neckline). The pattern signals that sellers have made three attempts to push the price below the support level and failed each time — with buyers consistently stepping in at that price level to absorb selling pressure. The triple bottom is a more powerful and reliable reversal signal than the double bottom because three failed attempts at breaking support provide stronger evidence of a price floor — confirming that selling exhaustion has occurred and that buyers are in control at the support level. The pattern is confirmed only when the price breaks decisively above the neckline (the resistance connecting the two intermediate highs between the troughs) on expanding volume. The measured move price target after a neckline breakout is calculated by adding the height of the pattern (distance from the support to the neckline) to the breakout level. In Indian equity markets, triple bottoms in Nifty 50, individual large-cap stocks, or sector indices after significant corrections provide high-conviction long entry signals — particularly when the triple support coincides with a major Fibonacci retracement level, a 200-day moving average, or a prior significant support zone, reinforcing the technical significance of the pattern.