What is a bearish flag pattern?

The bearish flag pattern is a powerful technical analysis tool used by traders to identify potential bearish trends in the foreign exchange (Forex) and gold markets.

What are bullish and bearish chart patterns?

Here is the formation of bullish and bearish chart patterns: Traders can enter into a trade when the price breaks above or below the upper or lower flag trend lines. It is formed when there is an increase in the demand or supply that makes the prices move up or down.

What is a flag pattern?

A flag pattern is a type of chart continuation pattern that shows candlesticks contained in a small parallelogram. When the prices are in an uptrend a bullish pattern shows a slow consolidation lower after an aggressive uptrend. When the prices are in the downtrend a bearish pattern shows a slow consolidation higher after an aggressive downtrend.

What is a bearish pattern in trading?

In trading, a bearish pattern is a technical chart pattern that indicates a potential trend reversal from an uptrend to a downtrend.