Tweezer Bottom: The Mistake Most Traders Make

A tweezer bottom is a two-candle formation in which price prints the same low twice before any sustained recovery can begin.

What the pattern is

The pattern consists of two candles whose lowest points sit at virtually the same price level. The first candle records the initial low; the second candle revisits that exact level. The entire signal is defined by those matching extremes rather than by the size or color of the bodies.

What forms it

A meaningful decline must already be in place. Without prior downward movement the repeated low carries no context. Once the first candle reaches its trough, the second candle must return to the same floor. Only after that second test does the pattern exist.

What confirms it

The second candle must close above its own open. That upward close shows that buying interest appeared at the shared low and managed to push price off the floor before the session ended. If the second candle instead finishes near its low, the test has not yet produced a reversal.

How it fails

Traders commonly compare the bodies of the two candles and overlook whether the actual lows align. When the bodies sit at different levels even though the wicks touch the same price, the pattern is not present. The formation lives only in the extremes; any mismatch at those extremes voids the setup.