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The\u00a0flag and pennant patterns<\/strong>\u00a0(flag pattenr) are commonly found\u00a0patterns\u00a0in the price charts of financially traded assets (stocks, bonds, futures, etc). The patterns are characterized by a clear direction of the price trend, followed by a consolidation and range bound movement, which is then followed by a resumption of the trend.<\/p>\n The bull flag pattern is encompassed by two parallel lines. These lines can be either flat or pointed in the opposite direction of the primary\u00a0market trend. The pole is then formed by a line which represents the primary trend in the market. The pattern is seen as the market potentially just taking a \u201cbreather\u201d after a big move before continuing its primary trend. The chart below illustrates a bull flag pattern:<\/p>\n <\/a><\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n pennant meaning and pennant shape are like a flag that is held upside down. The pennant pattern is identical to the flag pattern in its setup and implications; the only difference is that the consolidation phase of a pennant pattern is characterized by converging trend lines rather than parallel trend lines. The image below illustrates.<\/p>\n <\/a><\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" Flag pattern or flag and pennant pattern The\u00a0flag and pennant patterns\u00a0(flag pattenr) are commonly found\u00a0patterns\u00a0in the price charts of financially traded assets (stocks, bonds, futures, etc). The patterns are characterized by a clear direction of the price trend, followed by a consolidation and range bound movement, which is then followed by a resumption of the […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":112,"menu_order":6,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_mi_skip_tracking":false},"yoast_head":"\nFlag pattern – Bull flag pattern \/ Bear flag pattern<\/span><\/h2>\n
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Pennant pattern<\/span><\/h2>\n
Continue to the next lesson<\/a><\/h2>\n