Tweezer Top
A tweezer top is a technical analysis chart pattern that is used to identify potential reversals in the price of a security. It is formed when the price of a security reaches a high point, then retraces back to the same level, and then continues to move in the same direction as before. The pattern is considered to be a sign of a potential reversal in the price of the security.
The tweezer top pattern is named after the tweezers used by technicians to measure the highs and lows of a security. The pattern is formed when the price of a security reaches a high point, then retraces back to the same level, and then continues to move in the same direction as before. The pattern is considered to be a sign of a potential reversal in the price of the security.
The tweezer top pattern is used by technical analysts to identify potential reversals in the price of a security. The pattern is formed when the price of a security reaches a high point, then retraces back to the same level, and then continues to move in the same direction as before. The pattern is considered to be a sign of a potential reversal in the price of the security.
History of Tweezer Top
The tweezer top pattern was first identified by Japanese candlestick charting techniques in the early 1900s. The pattern was then adopted by Western technical analysts in the 1950s and has since become a popular tool for identifying potential reversals in the price of a security. The pattern is formed when the price of a security reaches a high point, then retraces back to the same level, and then continues to move in the same direction as before. The pattern is considered to be a sign of a potential reversal in the price of the security.
Comparison Table
| Tweezer Top | Tweezer Bottom |
|---|---|
| Price reaches a high point, then retraces back to the same level, and then continues to move in the same direction as before. | Price reaches a low point, then retraces back to the same level, and then continues to move in the same direction as before. |
| Sign of potential reversal in the price of the security. | Sign of potential reversal in the price of the security. |
Summary
The tweezer top pattern is a technical analysis chart pattern that is used to identify potential reversals in the price of a security. The pattern is formed when the price of a security reaches a high point, then retraces back to the same level, and then continues to move in the same direction as before. The pattern is considered to be a sign of a potential reversal in the price of the security. For more information about this term, you can visit websites such as Investopedia, The Balance, and Investing.com.
See Also
- Tweezer Bottom
- Double Top
- Double Bottom
- Head and Shoulders
- Inverted Head and Shoulders
- Rising Wedge
- Falling Wedge
- Cup and Handle
- Flag and Pennant
- Triple Top
