In a high market, the double top pattern is the most common signal of a market peak: two close high points with a pullback in between, reflecting that the bulls have failed twice to break through, indicating a weakening of bullish strength.
However, the real key to the double top is not whether the "shape looks like" it, but whether the neck line has been broken.
Only when the price effectively breaks through the neck line and the pullback fails to recover does it mean that the bearish trend is truly established.
Therefore, when you see a double top, don't rush to enter the market. The most reasonable strategy is to wait for the neck line to be effectively broken, and then look for a pullback confirmation. This not only aligns with trend logic but also keeps the risk within a reasonable range.
To put it more simply: the value of a double top lies not in the two high points, but in "breaking the neck line + pullback confirmation."