Triple Top
Moderate ConsensusA bearish reversal pattern in which price tests the same resistance level three times without breaking through, then finally breaks down through the support formed by the intervening troughs.
Candlestick chart showing three peaks at roughly the same height separated by two troughs at roughly the same support level, followed by a decisive break down through that support.
Sample data — illustrative only, generated to demonstrate this pattern's shape. Not a real security.
Identification Criteria
- Forms after an uptrend, with three peaks at approximately the same price level.
- Two troughs between the peaks establish a support (confirmation) line, similar to a double top with one extra test.
- Each successive peak often shows declining volume, reinforcing the read of fading demand.
- The extra test of resistance (versus a double top) is sometimes read as a stronger rejection, though this is a matter of interpretation rather than settled statistics.
Formation Logic
A triple top is essentially a double top that gets one more failed attempt at the same resistance level before rolling over. The repeated rejection at an identical price level suggests a well-defined, actively defended supply zone rather than a coincidence.
Breakout / Confirmation Rule
Confirmation requires a decisive close below the support line connecting the two troughs. As with the double top, the pattern is only a candidate formation until that break occurs — do not treat the third peak alone as a sell signal.
Measured-Move Price Target
A common illustrative measured-move technique: take the vertical distance from the peaks down to the support line, then project that distance below the breakout point. This is a planning heuristic, not a guarantee.
Common Pitfalls
- Distinguishing a genuine triple top from a broader trading range (rectangle) can be difficult in real time — the two often look identical until the breakout direction is known.
- Because it takes longer to form than a double top, traders can grow impatient and act before confirmation.
- Peaks that vary meaningfully in height weaken the pattern's reliability.