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Trading and Investment Terms

Frypan Bottom

This Japanese candlestick pattern is similar to a Western rounding bottom. A win­dow to the upside confirms this pattern. It is the counterpart of the dumpling top.


Normally it should be a signal of Bullish reversal of the current Trend.

  1.  It occurs during a Downtrend; confirmation is required by the candles that follow the Pattern.
  2.  The Pattern starts during a Downtrend, then it becomes a “Sideways” Trend (That represents the indecision of the Markets); at the end of the Pattern, there is a reversal in the direction of the Trend and it becomes an Uptrend.
  3. This Pattern is quite rare; is important that there is a Gap Up after the “Sideways” Trend and just before the start of the Uptrend (To obtain further confirmation of the reversal of the Trend, as the Pattern suggests).