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Flagformation

BULLISH FLAG PATTERN EXPLAINED.Bullish flags are a continuation pattern found in stocks with a strong uptrend. As can be observed, the pattern resembles a flag on a pole. The vertical rise forms the pole and the following period of consolidation forms the flag. The flag can be a horizontal rectangle but mostly angles down from the pole. The focus should be more on the underlying psychology of the pattern than the shape. Despite the strong vertical rally, the stock refuses to drop much because the bulls are buying as many shares they can get their hands on. ________________________________________________________________________________________________________________________ Main characteristics of a flag pattern: 1. The trend before the appearance of the pattern. 2. The channel of consolidation. 3. The volume behavior. 4. The breakout. 5. The confirmation of price movement in the direction of the breakout. _______________________________________________________________________________________________________________________ Target and Volume: The target for a bull flag is calculated by measuring the length of the flag pole and projecting it from the breakout point. The volume starts to pick up towards the end of the consolidation range indicating the oncoming breakout. Then there is a huge increase in volume when the pole is being formed and the volume tapers off during the consolidation period. ______________________________________________________________________________________________________________________ Stop Loss Options: 1. Longer term traders may place their stop loss below the entire flag. 2. A stricter option would be just below the consolidation are before the breakout. 3. The tightest option would be a two bar low trailing stop. ______________________________________________________________________________________________________________________ Thoughts: No one can know for sure which way the price will move, whether it will continue or reverse. One can follow the action of price, trade only the best setups and let the probabilities work out. While patterns may give false signals, bullish flags are generally reliable and effective. ______________________________________________________________________________________________________________________ Alert: Keep an eye out for price action unravelling currently. Price is pulling back to the 20 EMA, forming a consolidation, a flag of sorts. A continuation candle near the average with decent volumes could be the sign of a fresh move upwards. _____________________________________________________________________________________________________________________ Will be very grateful for a like and follow. :)
GEducation
by Tradeception_
7
JSW Steel forming Flag and pole patternThis stock looks good, if it gives a successful breakout with good volume Levels are already mentioned in chart. - Once given a successful breakout .. it looks good above 710 for immediate target of 735-40 and 2nd target of 770+ and T3 of 800+ Things to remember 1) Always wait for Confirmation, don't just jump in running candle 2) Condition for breakout is ... it should break the range with big green candle with good volume 3) There is 90% chance after a successful breakout, it should comeback to Re-test the support, which was once resistance 4) Always keep trailing Stop loss. Note : I am still learning .. let me know if i missed anything Disclaimer : This is purely for education purpose only
NSE:JSWSTEELLong
by r-ya
IGl has Created Both Flag & pole + Rounding bottom patternHi guys ... As shown in the chart IGL has formed both Flag and pole + Rounding Bottom Pattern and it looks good only above 578- 580 Targets can be the 100% of the depth of the rounding bottom pattern and Target 2 will be 100% of the length of the pole .. -- Things to remember --- Breakout should be done with Good volumes --- Once breakout done .. it can come back to retest the support which was once resistance ... -- Please wait for the confirmation ... so for being Safe side buy 1-2 points above the mentioned levels - Note : I am still a learner ... Do let me know if i miss something - Disclaimer : - This is Just for Education purpose only
NSE:IGLLong
by r-ya
Trident - Expecting more than 20% returns in short span 🔴DISCLAIMER ***** It's just for an educational purpose and so you must also follow your own technical analysis before taking up the trade ****** Aggressive traders enter at the breakout and conservative traders may give entry after retracement (Retracement is optional, we cannot expect every stock to take a retest after the breakout, it may also continue to have its bullish pressure after the breakout) After reaching our targets, trail your stop loss to get maximum profit from the stock in a single trade
NSE:TRIDENTLong
by PrakWorld_Traders
SAIL - Flag & pole and Traingle AS you can see in the Chart ... Flag and pole pattern formation and Traingle formation has been shown by SAIL on Daily Chart There are 3 possible Setups to trade in this Scenario: Case 1 : if it take support at traingle base as shown in chart ... we can go for a swing trade ... with immediate target of 130 with SL mentioned in the chart Case 2: if it breaks above resistance .. only with good volume ... then wait for it to retest the resistance trendline ... and if it took support then u can go long ... for safer side by above 135.. Case 3 : In case .. if it break down below 116 ... then w8 for the retest ... if it took resistance at 116 then you go short... Note : I am still in a learning phase .. please let me know if i missed something Disclaimer : This is just for Education Purpose only
NSE:SAILLong
by r-ya
NLC India - Flag pattern, Bullish formationNLC India is in a flag pattern with a consolidation zone, so give an entry with appropriate Stop loss after the breakout from the zone 🔴DISCLAIMER ***** It's just for an educational purpose and so you must also follow your own technical analysis before taking up the trade ****** Aggressive traders enter at the breakout and conservative traders may give entry after retracement (Retracement is optional, we cannot expect every stock to take a retest after the breakout, it may also continue to have its bullish pressure after the breakout) After reaching our targets, trail your stop loss to get maximum profit from the stock in a single trade
NSE:NLCINDIALong
by PrakWorld_Traders
3
Muthoot Finance - Flag PatternMuthoot finance is in flag pattern with consolidation zone, so give an entry with appropriate Stop loss after the breakout from the zone 🔴DISCLAIMER ***** It's just for an educational purpose and so you must also follow your own technical analysis before taking up the trade ****** Aggressive traders enter at the breakout and conservative traders may give entry after retracement (Retracement is optional, we cannot expect every stock to take a retest after the breakout, it may also continue to have its bullish pressure after the breakout) After reaching our targets, trail your stop loss to get maximum profit from the stock in a single trade
NSE:MUTHOOTFIN
by PrakWorld_Traders
Trading Patterns 101 - The Bullish flag patternWhat Is a Bullish Flag? Bullish flag formations are found in stocks with strong uptrends and are considered good continuation patterns. They are called bull flags because the pattern resembles a flag on a pole. The pole is the result of a vertical rise in a stock and the flag results from a period of consolidation. The flag can be a horizontal rectangle but is also often angled down away from the prevailing trend. Volume usually increases in the pole and then declines in the consolidation. The pattern consists of two important moves: 1. Impulsive move - In the first stage, buyers aggressively step into the market, driving prices higher. This rise in price then attracts other buyers, creating a buying frenzy. 2. Corrective move/Consolidation - After a while, the price settles down. This happens because fewer and fewer buyers are willing to buy at this point because the move seems overextended. The buyers who entered at the bottom start taking profits. When all of this happens, the stock will go into consolidation. At the bottom of the consolidation range, new buyers keep entering since they don’t want to miss the move. How to identify a Bullish flag? The bull flag pattern has 5 main characteristics: • The preceding trend – Uptrend • The consolidation channel – Either sloping downward or rectangular • Volume – The volume must be high during the formation of the pole, low during consolidation, and again, high during the breakout. • Breakout of the consolidation range • A confirmation where price moves in the same direction as the breakout Target objective: The target for a bull flag is derived by measuring the length of the flag pole and projecting it from the breakout point. The psychology behind a Bull flag: 1. The bulls start their buying frenzy and charge ahead with a strong breakout, causing the bears to either panic and cover their ‘shorts’ or add to their ‘short’ positions. 2. Once the stock is in the consolidation stage, the bears (short-sellers) regain some confidence and they add to their ‘short’ positions with the expectation of a price drop. This causes them to get trapped again when the price breaks to the upside, causing the shorts to cover their positions and ultimately driving the prices even higher 3. Since some short-sellers from the initial flagpole run-up may still be trapped, the second breakout forming through the flag can be even more extreme in terms of the angle and severity of price move. How reliable is a bull flag pattern? Flag patterns are considered to be among the most reliable continuation patterns that traders use because they generate a setup for entering an existing trend that is ready to continue. Flag formations are all quite similar when they appear and tend to also show up in similar situations in an existing trend. I guess that's almost everything you need to know about a bull flag! If anyone is interested in getting a PDF version of this thread, then you can message me, I'll provide it. Happy learning. Cheers!
NSE:WIPROEducation
by johntradingwick
19
How to Do Swing trading in Take Solutions✺----------------Drop a follow here: @Averoy_Apoorv_Analysis ✺ Chart Type: Self Explanatory: BO from this zone on Day chart = Amazing upside potential:: Swing trade ✺--------------------------- Motivational and psychological area ✺ ✣Trade only if you are in the right mindset, if you have been emotionally weak for some time, take your time and don't trade, trade with a happy and + mindset only. ✣If you want to make money, firstly be prepared to lose it, only that much which you can afford and that much by which you can make a mistake again, learn from them and grow ✣Don't lose hope and keep grinding ✣I have seen my friends on youtube streaming games with watching 10, constantly they streamed for a year or two and now they are buzzing with 1k to 2k watching daily. ✣Focus on the process, you are here to make money not stupid decisions, and lose it all ✣No one will help you climb the mountain, few will tell the path, so follow good peoples, make good mentors and make good decisions and choices in the stock market. ✣Believe in yourself :) ✺------------------------------------ Some info-------------------------- ✺ ➼My name is Apoorv and I am a 2nd year Engineering student, I want to pursue trading as my career, and thus whatsoever setups or trades I potentially see on my charting platform, I post it here and share them with you all. ➼I hope you will love my simple analysis style. ➼Feel free to suggest your view on this as learning is earning here :) ➼I take my trades on my Zerodha account :) ➼I don't take all the trades I post ➼These charts are my and only my work, my thought process, just from an educational point of view and no calls. <<<<<< Thank You Have a Nice Trading Day >>>>>>
NSE:TAKELong
by Averoy_Apoorv_Analysis
Can Reliance follow through after the flag breakout?NSE:RELIANCE has broken out of the flag pattern with above average volumes, but faces some weakness in crossing the 2220-2250 level, as is evident by the price action recently. With the AGM tomorrow, could RIL sustainably follow through after the flag breakout? We've seen at least one flag breakout in the recent past (not pictured here) after which the broader rally resumed in full-swing. Could this be the start of something similar to that? And in the past, AGMs have shown us a breakout or breakdown from the consolidation phase. So tomorrow seems to be a very important day for the Big Daddy of the Indian markets, and consequently, for us traders as sentiments spread and it is the highest weighted stock in Nifty. What are your thoughts?
NSE:RELIANCE
by MarketsWithKR