What is a bull flag and a Bear Flag in crypto trading?

There are many interesting trading concepts and patterns that crypto traders find useful; two are the bull flag and the bear flag. These candlestick patterns are continuation patterns that, if understood, can help you find good trade entry points. You can even use them as a significant part of your trading strategies.

What is a Bear Flag trading pattern?

The bear flag trading pattern is a reliable chart that shows how oversold an asset (in this case, cryptocurrency) is. Following the momentary reversal, it denotes the continuation of a downward trend. The retracement is represented by the flag portion of the bear flag pattern.

What is a bear flag & bear pennant?

The bear flag and the bear pennant are chart patterns used to identify bear markets. They both appear as downward-sloping trends that are followed by a brief period of consolidation before the price continues its decline.

What is a Bear Flag & how does it work?

Since the bear flag is the direct opposite of the bull flag, you will quickly understand that the flagpole in a bear flag is formed by downward price movement, followed by a consolidation that might move a little upward or just sideways then a continuation of the bearish trend.