Adam and Eve Pattern
⚡️ The Adam and Eve pattern is a reversal formation on a downtrend. A very sharp and deep first base with high volume (Adam) and a systematic rounded second base with reduced volume form the pattern. The price movement then compresses into a narrow range and the market instrument confidently breaks upwards above the neckline.
⚡️When the top of the Eve moves into a flat range, this presents an excellent entry point, but only after the breakout.
⚡️In essence, working with this pattern is no different from a double bottom or double top:
Entry — after breaking the neckline level or on retest of the broken level.
Target — the target is equal to the height from the bottom of the pattern to the neck level.
Stop — after entering under the broken level or local minimum.