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Triple Top Pattern

The triple top is a bearish reversal pattern where price tests a similar resistance zone three times and fails to break through. It can signal that upside momentum is fading and supply is building at the same level.

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Key Characteristics

1
Three peaks form near the same resistance zone
2
Two pullbacks between peaks create a support baseline
3
Pattern forms after an uptrend or extended rally
4
Volume may fade across successive peaks
5
Breakdown below support confirms the structure
6
Measured move often equals pattern height
7
Longer formation periods can increase significance
8
Failed breakdowns can trigger sharp reversals

Trading Tips

  • Wait for support breakdown instead of anticipating at resistance
  • Use volume expansion on breakdown as confirmation
  • Define invalidation above the third peak or recent swing high
  • Consider partial exits near key support zones

Signal Strength & Reliability

Moderate to Strong — usually stronger when resistance is tested cleanly and breakdown is decisive

Triple Top FAQs

Common questions about the triple top pattern

It can be, because the third failed attempt may confirm stronger resistance. Reliability still depends on context, volume, and the quality of the breakdown.

A confirmed break below the support level between peaks is the key signal. Many traders also look for higher selling volume on the breakdown.

Yes. If price reclaims the broken support and pushes through resistance, the pattern has failed. That can lead to a continuation move higher.

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Disclaimer: Charted provides technical analysis for educational purposes only. This is not financial advice. All trading involves risk. Always consult a licensed financial professional before making investment decisions.

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