Higher bottoms is good news, which is also known as rising . As long as the subsequent bottoms continues to move higher we say the trend is intact.
However, ‘higher tops with higher bottoms’ is like “having the cake and eating it too”. It is an indication the momentum is strong and fresh buying is likely to creep in on every dip.
Yen bears would be happy to know that Dollar-Yen chart boasts of a ‘higher tops and higher bottom’ formation for the first time this year. Eddie Tofpik – Head of FX at ADM Investor Services International (ADMISI) presented his on forex majors today’s London open show.
Tofpik rightly pointed out to the higher tops higher bottom formation and said it is encouraging sign though it is bit early to say the pair has bottomed out.
Watch the segment with Eddie Tofpik here - Technical outlook on FX majors and – ADMISI - https://www.youtube.com/watch?v=hIFcrSdT0Kw