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Tweezer Bottom

Two consecutive candles with matching lows at the bottom of a downtrend — the shared low was rejected twice, hinting at a floor.

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A Tweezer Bottom is the bullish counterpart to the Tweezer Top. Two adjacent candles print virtually the same low, typically at the bottom of a downtrend. The first candle is usually bearish; the second is bullish.

The matching lows signal that sellers pushed to the same floor twice and both times buyers stepped up. It identifies a price level where demand materialised consistently. Combined with a support zone or oversold indicator reading, the Tweezer Bottom becomes a solid entry signal.

Example

Two consecutive daily candles on a stock both tag the same low tick at a 52-week support level. The second candle is a bullish candle with a close well above the shared low. Traders treat this as a double-rejection and buy on the next open.

#bullish#reversal#two-candle

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