M Formation Chart Pattern

Description

The M Formation, also known as the Double Top, is a longer term pattern, which generally marks the end of a bull run. Prices work up to a new high, then retreat to a low. The prices then move back to a price point near the previous high, and then retreat again, below the low which occurred between the 2 highs which formed the M Top Formation. This indicates a reversal of the price movement and the beginning of a bear move.

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