A lower low, commonly abbreviated LL, is a price trough below the previous comparable swing low. It is a relative description of market structure, not necessarily the lowest price an asset has ever traded at.
Following successive declines
Imagine a token falls to 40, rebounds to 46, and then forms another trough at 35. The second trough is a lower low relative to 40. The rebound peak at 46 is a separate point: comparing peaks determines higher or lower highs, while comparing troughs determines higher or lower lows.
Repeated lower lows and lower highs commonly describe a downtrend. A single lower low can also appear inside a broad trading range or during a temporary pullback within a longer uptrend.
Defining the comparison
The result depends on the timeframe and the method used to select swing points. Analysts should apply consistent rules for candle wicks versus closes; a dip below a prior low followed by a recovery may look different under those rules.
Methods requiring later candles identify a completed trough with delay. A lower low therefore helps describe price behavior already observed, but does not guarantee another decline, establish a fundamental valuation, or prove deliberate stop hunting.