A rounding bottom is a bullish reversal chart pattern that forms after a downtrend, where the price gradually shifts from falling to moving sideways and then starts rising in a smooth U-shaped curve. It shows that selling pressure is slowly weakening while buyers are steadily gaining control. Unlike sharp reversal patterns, a rounding bottom develops over time, indicating stronger accumulation and a more stable trend change. A breakout above the resistance level near the top of the pattern often confirms the setup, and higher trading volume during the breakout adds strength to the signal. Traders usually view it as a sign of potential long-term upside momentum.