The low point and high point in the early stage of the 2B rule are essentially support resistance levels, which are a region, not an absolute point. 2B was originally intended to attack a certain resistance area, but it failed to break through the area effectively because of its strong supply; Or test a certain support area, but due to the strong demand in this area and the strong buyer's strength, it failed to effectively break through this area, and it was shown as "potential double top or double bottom" on the trend chart. According to the Bible of Technical Analysis of Stock Market Trends written by John McGee, it is extremely rare for a real reversal after a double bottom and a double top. John murphy also emphasized in his famous book Technical Analysis of Futures Market that the trend reversal must be completed (breaking through the neckline).
In the above example, in the upward trend, A2 is the support area, and B2 falls below this area, but then recovers, indicating that demand is greater than supply, which is a good buying opportunity-this is homeopathic 2B. A 1 is obviously the resistance zone. B 1 broke through this position, but then fell below. Can it be short? The answer is no, the reason has been explained by john mackey and john murphy above. -This is the contrarian 2B.