double top of gbpusd chart with fake breakout price action pattern

Double Top / Bottom – A reversal Pattern

A double top or bottom is a very powerful chart pattern. It tells us, that the market was not able to break the support or resistance zone. It also tells us, that supply or demand was big enough to drive price away from the zone. As you can read in my article about horizontal support and resistance, it is more of a zone or area where a double top occurs, then an exact line it has to touch to be valid.