bouble bottom

Betman88

I want to make a scan to find double bottoms .Is it possible to do this and how?

markd

Well, yes and no.

You could specify a particular type of double bottom - e.g. the two bottom values are 20 to 30 bars apart, the highest value between them is at least, say, five points above the second bottom close, and the first bottom close is within, say, half a point of the second bottom close. And do we use the current close as the second bottom? It could be that prices will keep going down, so today's close is not really a second bottom. So do we use a close a from a few days ago for the second close? How many days ago? Etc.

So that's fairly complicated to write, it's fairly arbitrary, and it will only catch those symbols that fall into those parameters. What about double bottoms that are 15 days apart, or 40 days apart, etc.?

There could be easier but less exact ways - say, look for a Fast Stochastic below 20 today, and below 20 x days ago, with a max value above 80 in between. But, you still have the problem that it will only catch some double bottoms. So, you have to decide whether it's worth the effort.

lmkwin

@Betman88 What do you consider a double bottom? Do you have some example symbols as to what you are looking for? Please don't say intraday. You can't scan for intraday patterns on StockCharts.com.