Pull Back Fishing Double Bottom

NYSE:BLD   TopBuild Corp
Maybe one to watch.

Looks like a double bottom . If you are looking for a neckline on a pattern, often you will find it as the security often struggles at the neckline. Bottoms like inverse H&S and double bottoms etc. have a line of resistance they must break to move on. Then that line becomes support.

I have noted BLD is volatile for this sector and can be a pain in the neck to trade, unless you pick a good long entry level so you do not become dissuaded.

A perfect bullish belt hold should have no bottom shadow, but does have a top wick and is found at the bottom or at a pull back, not at the top. The bulls were unwilling to let price go lower. If there is no top wick or a bottom shadow, it is a Marubozu , or the candle has 2 shaven heads, which means the bulls dominated the session (price opened at a level which did not go any lower and closed at the high of that session). There is a bearish version of each of these 1 candle patterns.

Green candles have the open at the bottom of the candle body and the close at the top (makes sense). The high is the top of the top wick and the low is at the bottom of the lower shadow. A red candle also has the same high and low, only the open is at the top of the candle body and the close is at the bottom of the candle body.

No recommendation.

It appears that this sector is experiencing difficulty right now. Sometimes when you see an ugly top, look for a pretty bottom or a bullish signal that feels good to you.(o:

PE ( FWD )

TopBuild Corp . installs and distributes insulation and other building products to the United States construction industry. The company operates in two segments, Installation and Distribution. It offers insulation products, rain gutters, glass and windows, afterpaint products, fireproofing and firestopping products, garage doors, fireplaces, closet shelving, roofing materials, accessories, and other products ; and insulation installation services. The company also provides various services and tools to assist builders in applying the principles of building science to new home construction, which include pre-construction plan reviews, various inspection services, and diagnostic testing; and home energy rating services. It serves single-family homebuilders, single-family custom builders, multi-family builders, commercial general contractors, remodelers, and individual homeowners, as well as insulation contractors, gutter contractors, weatherization contractors, other contractors, dealers, metal building erectors, and modular home builders. The company operates approximately 200 installation branches and 75 distribution centers in the United States. The company was formerly known as Masco SpinCo Corp. and changed its name to TopBuild Corp . in March 2015. TopBuild Corp . was incorporated in 2015 and is headquartered in Daytona Beach, Florida.