In a triple bottom pattern, the market is testing support, and each time

bouncing off.
Our example of a triple bottom is taken from the hourly chart for the
EUR/CHF
(Euro Swiss) currency pair where we can see a classic formation of this
pattern.
As with the triple top, there are two trading scenarios. The first is a long
position,
validated by VPA or wait for a break and hold below the support region, for a
short
trade. Any follow through to the short side would then provide strong
resistance
overhead.
The good news is that we see all these patterns in every instrument and
market. In
bonds, commodities, equities and currencies, and in all time frames.
These patterns all have one thing in common - they are creating trading
opportunities for us by signalling two things. First, an area where the market
is in
congestion, and second, a market that is either building a ceiling of price
resistance
or a floor of price support. From there will come the inevitable breakout,
signalling
a trend reversal, or a continuation of trend, and from there, all we need to do
is to
validate the move using VPA, and of course VAP, which will highlight these
areas
for us visually on our charts.
Now in the final chapter of the book I would like expand on some of the
latest
developments in volume based trading techniques. After all, the approach and
basic
concepts have changed little in the last 100 years, so perhaps it’s time for
some new
developments!