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Rounding Top Scanner



Rounding Top Scanner

What is Rounding Top?

Rounding Top is a bearish reversal chart pattern that forms gradually after an uptrend. It represents a slow shift from buying pressure to selling pressure, where price action curves smoothly from bullish momentum into bearish momentum, creating a dome-like shape at the top.

How the Rounding Top Pattern Forms

  • The price rises steadily during an established uptrend.
  • Momentum begins to weaken as buying pressure slows down.
  • Price movement gradually flattens near the top zone.
  • Selling pressure increases, forming a smooth curved decline.
  • The pattern completes when price breaks below the support zone.

Trading Strategy

  • Wait for a confirmed breakdown below support before shorting.
  • Avoid early entries as rounding tops develop slowly and may fake out.
  • Place stop-loss above the highest point of the rounding structure.
  • Use volume increase during breakdown for confirmation.

Advantages

  • Helps identify gradual trend reversals at market tops.
  • Provides clear risk levels once breakdown occurs.
  • Reflects real distribution phase behavior in markets.
  • Works well on higher timeframes for reliability.

TSR Scanner Features

  • Real-Time Alerts: Detects early rounding structure formation.
  • Fine-Tune Filter: Combine with volume and TSR strength index for accuracy.
  • Custom Tracking: Monitor selected stocks or watchlists.
  • Backtesting Capabilities: Evaluate historical rounding top formations.
  • Flexible Timeframes: Works from intraday to monthly charts.
  • Auto Refresh: Keeps scanner updated continuously.

Fine Tune : You can customise these screeners by clicking on 'Fine Tune Filter' Option

Caution : All these screeners are crafted based on some historical scenarios which may / may notbe applicable here. We recommend to fine tune them according to current market conditions or seek expert advise before taking any decision.
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