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Adam and Adam Bottom

The Adam and Adam Bottom has two sharp troughs with a sharp peak between. Angular shape at bottom.

AdamAdamNecklineAdam Adam Bottom: 2 sharp troughs → Break neckline → Rise

Pattern Details

Category

reversal

Success Rate

79%

Average Move

+18%

Duration

2-4 weeks

Pattern Structure

Pattern Structure
Key components that define this chart pattern
  • 1
    Trough 1: Sharp, pointed (Adam)
  • 2
    Peak: Sharp, pointed (Adam)
  • 3
    Trough 2: Sharp, pointed (Adam)

Trading Rules

Trading Rules
Essential rules for trading this pattern successfully
  • ✓
    Enter long position when price breaks above peak
  • ✓
    Two troughs should have similar shape
  • ✓
    Target = Distance from trough to peak
  • ✓
    Stop loss below lowest trough
Trading Tips
  • Adam = sharp, V-shape trough
  • More effective than standard Double Bottom
  • Volume should increase at second trough

Statistics

Breakout Statistics
Bullish Breakout79%
Bearish Breakout21%
Performance Metrics
Average Rise+18%
Average Decline-4%
Pullback Rate7%