Lower Low
A swing low that breaks below the previous swing low, confirming downward momentum.
Also called: ll
In plain language
A lower low means the level where buyers previously defended has failed. Supply overwhelmed demand at a price that used to matter.
Combined with lower highs it confirms a downtrend. The first lower low in an uptrend is the structural break that says control has changed hands.
Lower lows frequently trigger clusters of stop orders, which is why the move through them can be unusually fast.
Seen on a chart
Why it matters
A lower low is the cleanest objective invalidation for a long thesis. It is a level worth deciding about before the trade rather than during it.
Common mistakes
- Holding a long past a lower low while looking for reasons the structure does not count.
- Treating an intraday wick as a confirmed break.
Keep exploring
These concepts are connected. Understanding one usually makes the next one easier.
A swing high that fails to reach the previous swing high, showing weakening demand.
The pattern of highs and lows that describes whether a market is trending or ranging.
A sustained directional bias in price, built from a repeating pattern of highs and lows.
A trough with higher lows on both sides — a local turning point where buyers took control.
A predefined exit that closes a losing trade before the loss becomes serious.