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Flag Pattern
Chart PatternsA continuation pattern that looks like a small rectangle tilting against the prior trend. A bullish flag tilts down after a sharp rise; a bearish flag tilts up after a sharp fall. Breakout continues the original trend.
Related Terms
Pennant
A continuation pattern similar to a flag but with converging trendlines forming a small symmetrical triangle.
Continuation Pattern
A chart pattern that signals the existing trend is likely to continue after a pause.
Breakout
When price moves above a resistance level or below a support level with increased volume.