Diamond Bottom Complete Guide

reversalbullish25 bars

What is Diamond Bottom?

Le Diamant Bas est une figure de retournement à biais haussier. Il nécessite au moins 25 barres pour se former. Cette figure est largement reconnue en analyse technique et peut être observée sur tous les marchés et horizons temporels.

Diamond Bottom pattern illustration

Identification Rules

  1. Preceding Trend: A clear and sustained downtrend must exist prior to the formation of the diamond.
  2. Broadening Phase: The first half of the pattern must show at least two higher highs and two lower lows with diverging trendlines.
  3. Narrowing Phase: The second half must show lower highs and higher lows with converging trendlines, creating the rhombus shape.
  4. Breakout Confirmation: A decisive close above the descending resistance line on the right side of the diamond, ideally on high volume.

References

  • Thomas N. Bulkowski (2005). Encyclopedia of Chart Patterns.
  • Steve Nison (2001). Japanese Candlestick Charting Techniques.

FAQ

How reliable is the Diamond Bottom compared to other reversals?

According to Bulkowski, it is very reliable with a failure rate of only 4% in bull markets, which is lower than the Head and Shoulders Bottom.

How do you calculate the price target for a Diamond Bottom?

Mesurer la distance verticale entre le plus haut sommet et le plus bas creux au sein du diamant et l'ajouter au point de rupture.

What is the typical duration for this pattern to form?

While it requires a minimum of 25 bars, on a daily chart, it often takes 3 to 6 months to fully develop.

Does volume need to increase on the breakout?

Yes, a volume spike on the breakout significantly increases the probability of a successful trend reversal and reduces the chance of a throwback.

Can a Diamond Bottom be mistaken for a Head and Shoulders?

Yes, the broadening phase can look like a complex left shoulder and head, but the converging second half distinguishes the diamond.

More Analysis

Reviewed by KlineVision Research Team, CFA Charterholder, 10+ years quantitative research· 23 avr. 2026

Parts of this page (FAQ, introductions) are AI-assisted. Core data and statistics are algorithmically computed. All pattern definitions are human-reviewed.

Data source: EODHD · Last updated: 23 avr. 2026

Avertissement : Cette page est basée sur des données de marché publiques et une analyse technique algorithmique. Elle ne constitue pas un conseil en investissement.

Data source: EODHD · © 2026 KlineVision AI