As of 10/11/2019
  Indus: 26,817 +319.92 +1.2%  
  Trans: 10,292 +224.65 +2.2%  
  Utils: 867 -5.54 -0.6%  
  Nasdaq: 8,057 +106.26 +1.3%  
  S&P 500: 2,970 +32.14 +1.1%  
YTD
 +15.0%  
 +12.2%  
 +21.6%  
 +21.4%  
 +18.5%  
  Targets    Overview: 09/30/2019  
  Up arrow27,600 or 25,600 by 10/15/2019
  Up arrow11,100 or 9,700 by 10/15/2019
  Up arrow900 or 850 by 10/15/2019
  Up arrow8,300 or 7,700 by 10/15/2019
  Down arrow2,825 or 3,050 by 10/15/2019
As of 10/11/2019
  Indus: 26,817 +319.92 +1.2%  
  Trans: 10,292 +224.65 +2.2%  
  Utils: 867 -5.54 -0.6%  
  Nasdaq: 8,057 +106.26 +1.3%  
  S&P 500: 2,970 +32.14 +1.1%  
YTD
 +15.0%  
 +12.2%  
 +21.6%  
 +21.4%  
 +18.5%  
  Targets    Overview: 09/30/2019  
  Up arrow27,600 or 25,600 by 10/15/2019
  Up arrow11,100 or 9,700 by 10/15/2019
  Up arrow900 or 850 by 10/15/2019
  Up arrow8,300 or 7,700 by 10/15/2019
  Down arrow2,825 or 3,050 by 10/15/2019

Bulkowski's Eve & Adam Double Tops

 

Statistics updated on 10/17/2018.

For more information on this pattern, read Encyclopedia of Chart Patterns Second EditionEncyclopedia of Chart Patterns 2nd Edition book., pictured on the right, pages 307 to 320.

If you click on the above link and then buy the book (or anything) while at Amazon.com, the referral will help support this site. Thanks.

-- Tom Bulkowski

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Adam is a term that describes how the top looks, in this case, Adam sports a narrow, pointed top, perhaps with a one-day upward spike. The Eve top is more rounded looking and wider. If Eve has spikes, they tend to be more numerous and shorter. Many times the difference between Adam and Eve is the width of each over their entire height. Adam tops tend to remain narrow but Eve tops widen substantially over their height. When trying to decide which is which, ask yourself if the two tops appear different or similar. With Eve & Adam, the two should look different (the first wide and the second narrow).

Important Results
Identification Guidelines
Trading Tips
Example
Other Examples
See Also

Eve & Adam Double Tops: Important Bull Market Results

Overall performance rank (1 is best): 38 out of 53
Break even failure rate: 32%
Average decline: 13%
Pullback rate: 68%
Percentage meeting price target: 46%

The above numbers are based on 484 perfect trades. See the glossary for definitions.

Eve & Adam double top chart pattern
Score your pattern
for performance

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Eve & Adam Double Tops: Identification Guidelines

CharacteristicDiscussion Double top setup
Configuration
Price trendUpward leading to the pattern.
ShapeTwo distinct tops that look different. Eve appears first and is rounded looking and wider than Adam. Adam comes second and is narrow, an inverted V, often appears as a 1-day price spike.
ValleyThe valley drop between the tops should measure at least 10%, but allow exceptions. The figure to the right shows the details.
Top priceThe variation between price peaks is small, often less than 3%. The two tops should appear to peak near the same price. The figure to the right shows the details for generic double tops.
SeparationThe twin peaks are several weeks apart with most falling in the 2 to 6 week range. The figure to the right shows the details.
ConfirmationThe double top confirms as a true double top once price closes below the valley between the two peaks.
VolumeUsually higher on formation of the left peak.

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Eve & Adam Double Tops: Trading Tips

Trading TacticExplanation Eve and Adam double top measure rule
The Measure Rule
Measure ruleCompute the height from the highest peak (B in the figure to the right) to the lowest valley (A) in the pattern then multiply by the above 'percentage meeting price target.' Subtract the result from the breakout price (A) to get the target (C).
Price reversalPrice must have something to reverse, so if the rise leading to the double top is small, expect a small decline.
ConfirmationWait for confirmation -- price to close below the valley floor (point A in the figure to the right). If you don't wait, there's a 65% chance that price will continue higher without confirming the double top.
Trend endIf a double top appears after a long-term decline (meaning the double top appears as part of an upward retrace in a downtrend), confirmation of the top may mean that the end of the decline is near (10% to 20% below and a month away).
TrendsA short-term rise (0-3 months) leading to the double top results in the best post breakout performance.
Yearly lowAvoid double tops in the lowest third of the yearly price range. They show the worst performance post breakout, but differences are small.
Volume trendA downward volume trend from peak to peak shows marginally better performance, post breakout.
PullbacksPullbacks hurt post breakout performance.

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Eve & Adam Double Top: Example

Eve & Adam double top chart pattern example

The figure on the right shows an example of an Eve & Adam double top chart pattern. The Eve top has several days at about the same price level. Adam has a long, single price spike. The two tops look different. Eve is wider than Adam and more rounded looking.

The Eve & Adam double top chart pattern confirms when price closes below the valley between the two tops, shown here as point A.

Price at point B attempts a pullback but does not quite make it up to the price level of the breakout (A).

Just by looking at this example, you can see that it fulfills the measure rule. That means the decline after this pattern confirms is well below the height of this pattern projected downward from A.

-- Thomas Bulkowski

 

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Eve & Adam Double Tops: Other Examples

See Also

 

Support this site! Clicking any of the books (below) takes you to Amazon.com. If you buy ANYTHING while there, they pay for the referral.

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Chart Patterns: After the Buy Getting Started in Chart Patterns, Second Edition Trading Basics Fundamental Analysis and Position Trading Swing and Day Trading Visual Guide to Chart Patterns Encyclopedia of Candlestick Charts Encyclopedia of Chart Patterns 2nd Edition Trading Classic Chart Patterns

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