Wondering... if you noticed, did we touch the 2040 spx500 for the third time today since 7/3? Triple bottom or false because of short time frame? I think the world is in disarray, simply, and equities' fear factor has to push us lower. But what does the chartsist in you say? Thanks for posting, although I may not comment, I do follow and appreciate your charts and homework.
Mmmm, Bulkowski rates a triple bottom 7 out of 25, and I thought you were a fan? I don't know enough to have an opinion. Thanks for the reply. I see this same pattern in GLD and others. If anything bounces off a resistance or a support 3 times, and cannot break thru, just think that has significance.
Triple bottoms work in corrective structures. They can be part of a flat in Ew terms, or a triangle.
SPX500 is in corrective state in the larger picture according to Glenn Neely.
Borderline unpredictable in Elliott Wave forecast terms.
I am a fan of Bulkowski, but triple bottoms or tops are not something I give much credence to. If they are forming a rising or descending triangle, that's something else entirely. Even in that case, they can break either direction and the position of the triangle matters. An ascending triangle at a top can very well break to the upside while others are calling triple top, for instance.
So I posted this for our conversation. I want to thank you for the lesson in making sure a triple top is an authentic one, with true tops and bottoms, and I can see that if you make sure of it, they are rare indeed.