As of 08/20/2019
  Indus: 25,962 -173.35 -0.7%  
  Trans: 10,006 -75.35 -0.7%  
  Utils: 834 -1.95 -0.2%  
  Nasdaq: 7,949 -54.25 -0.7%  
  S&P 500: 2,901 -23.14 -0.8%  
YTD
 +11.3%  
 +9.1%  
 +17.0%  
 +19.8%  
 +15.7%  
  Targets    Overview: 08/15/2019  
  Up arrow27,200 or 24,900 by 09/01/2019
  Up arrow10,700 or 9,550 by 09/01/2019
  Up arrow850 or 790 by 09/01/2019
  Up arrow8,200 or 7,400 by 09/01/2019
  Up arrow3,000 or 2,750 by 09/01/2019
As of 08/20/2019
  Indus: 25,962 -173.35 -0.7%  
  Trans: 10,006 -75.35 -0.7%  
  Utils: 834 -1.95 -0.2%  
  Nasdaq: 7,949 -54.25 -0.7%  
  S&P 500: 2,901 -23.14 -0.8%  
YTD
 +11.3%  
 +9.1%  
 +17.0%  
 +19.8%  
 +15.7%  
  Targets    Overview: 08/15/2019  
  Up arrow27,200 or 24,900 by 09/01/2019
  Up arrow10,700 or 9,550 by 09/01/2019
  Up arrow850 or 790 by 09/01/2019
  Up arrow8,200 or 7,400 by 09/01/2019
  Up arrow3,000 or 2,750 by 09/01/2019

Bulkowski's Horn Tops

 

Updated on 11/28/2018.

For more information on this pattern, read Encyclopedia of Chart Patterns Second EditionEncyclopedia of Chart Patterns 2nd Edition book., pictured on the right, pages 115 to 131.

If you click on the above link and then buy the book (or anything) while at Amazon.com, the referral will help support this site. Thanks.

-- Tom Bulkowski

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Horn tops are H-shaped chart patterns that perform best when found on the weekly charts. The performance is good, especially in a bear market. Discovered by Thomas Bulkowski in 1998.

Horn top chart pattern
Horn Top Chart Pattern

 

Horn Tops: Important Bull Market Results

Overall performance rank (1 is best): 1 out of 53
Break even failure rate: 9%
Average decline: 19%
Pullback rate: 28%
Percentage meeting price target: 54%

The above numbers are based on 834 perfect trades. See the glossary for definitions.

Horn Tops: Identification Guidelines

CharacteristicDiscussion
Weekly chartUse the weekly chart to locate horns.
Price trendUpward leading to the pattern.
ShapeLooks like a steer's horn, two parallel price spikes separated by a week.
SpikesThe spikes should be longer than most in the past year, but be flexible.
ConfirmationThe pattern confirms as valid when price closes below the lowest price in the 3-week pattern.

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Horn Tops: Trading Tips

Trading TacticExplanation Horn top chart pattern measure rule
The Measure Rule
Measure ruleSee the Measure Rule figure to the right. Compute the height between the highest high (A) and lowest low (B) in the 3-week pattern and then multiply it by the above 'percentage meeting price target.' Subtract the result from the lowest low (B) in the pattern to get a price target (C).
DowntrendsIf the horn appears near the end of a downtrend, then avoid it.
ConfirmationWait for confirmation before placing a trade.
Trend changeA horn top usually signals a trend change within 2 months.
PullbacksPullbacks hurt performance.

Horn Tops: Example

Horn top chart pattern example

The above figure shows an example of a horn top chart pattern. The two spikes tower above the surrounding price landscape, the trend to the chart pattern is upward and long, and price confirms the horn top when it closes below the lowest low in the 3-week pattern. Shown on the weekly scale.

-- Thomas Bulkowski

Top of page More

See Also

 

Support this site! Clicking any of the books (below) takes you to Amazon.com. If you buy ANYTHING while there, they pay for the referral.

My novels:      New                  Bumper's Story Head's Law

Chart Patterns: After the Buy Getting Started in Chart Patterns, Second Edition Trading Basics Fundamental Analysis and Position Trading Swing and Day Trading Visual Guide to Chart Patterns Encyclopedia of Candlestick Charts Encyclopedia of Chart Patterns 2nd Edition Trading Classic Chart Patterns

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Some pattern names are registered trademarks of their respective owners.

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