Forex Zone | Forex Forum

What is the flag candlestick pattern?

Discussion started on Forex Advertisements

  • Posts: 12
  • Points: 523
  • Likes Received: 1
  • Reputation: +0/-0
What is the flag candlestick pattern? in Forex Advertisements_xx New!
The flag pattern consists of two trend lines. In an uptrend, if the market breaks through the upper trend line, it means that the market is going to go up, which is the time to buy. The downtrend is based on the market falling below the lower trend line as the standard for issuing a short signal.

The use of the flag pattern is of course not limited to breaking the trend line, but also depends on the volume.

First of all, when the market has not broken through, the trading volume should shrink; when the market breaks through, the trading volume will increase. Only when such a sign occurs can this flag pattern be noticed and valid.

In addition, the flag pattern also has its price measurement target. Flag patterns generally appear halfway through the entire trend range. This means that as long as you wait for a buy or sell signal from the flag pattern, you can hold a position and use the previous drop or rise before the flag as a benchmark to gauge where your next price target is.

More generally, we should calculate the distance of the previous movement from the original breakout point. In other words, the starting point should be the point at which the signal occurs when the current trend begins.


Source: Forex Rebate http://www.forexrebateking.com

Linkback: https://www.forex.zone/forex-advertisements/9/what-is-the-flag-candlestick-pattern/3812/
#1 - July 15, 2022, 09:02:11 AM
« Last Edit: July 15, 2022, 09:04:03 AM by Crosta »

Members:

0 Members and 1 Guest are viewing this topic.


* Similar Topics

xx
CandleStick Pattern Identifier

Started by Ms on MT4 / MT5 Indicators

0 Replies
2101 Views
Last post August 16, 2019, 12:33:32 AM
by Ms
xx
What is the difference between chart pattern and Harmonic pattern?

Started by zanurreload on General Forex Discussion

178 Replies
2490 Views
Last post January 14, 2023, 07:48:42 PM
by FXOpen Trader
clip
FLAG LIMIT

Started by Torroco on Trading Systems

0 Replies
260 Views
Last post June 29, 2021, 10:14:35 AM
by Torroco
clip
COMPRESSION FLAG LIMIT

Started by Torroco on Trading Systems

0 Replies
213 Views
Last post July 01, 2021, 12:52:35 AM
by Torroco