Rounded Top Stock Chart

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A rounding top is a price pattern used in technical analysis . It is identified by daily price movements, in particular the tops, which when graphed form a downward sloping curve. Technical analysis of price information suggests that a rounding top may form at the end of an extended upward trend and that this price pattern may indicate a reversal in the long-term price movement. The pattern can develop over several days, weeks, months or even years, with longer time frames to completion forecasting longer changes in trend.