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The Double Bottom Chart Pattern is the inversion of Double Top Chart Pattern. It frequently appears at the end of a downtrend and looks like the letter 'W'. The pattern forms as two consecutive lows at the same or almost the same price level. The two lows are separated by a retracement that is also called the valley. The neckline of the double bottom pattern is drawn at the highest high of the valley. Looking at the NZD/USD 60 min chart, after an extensive move to the downside the bears lose strength and the bulls are taking over the market. Price retraces to the upside forming the valley. We draw the neckline at the highest high of the valley. The bears take over again pushing price to the same or almost the price level of the previous low. Bulls then take over for second time pushing price further up and finally breaking the neckline to the upside. We enter the trade only after the pattern is completed and price closes above the neckline. The stoploss will be below the two lows of the double bottom. The profit target is measured by taking the height of the actual pattern and extending that distance up from the neckline.