Continuation Diamond and Flag Pattern formation On Daily Chart two patterns has been noticed recently in CANFIN HOMES: Continuation Diamond (Bullish) and Flag (Bullish)
Continuation Diamond (Bullish) - explanation
The script canfinhome previously experienced a period of consolidation where the price moved within a specific range. However, the price has now broken out of this range in an upward direction, indicating that the previous uptrend is likely to continue. This breakout occurred after a pattern of higher highs and lower lows, followed by a narrowing of the trading range. This pattern is known as a broadening formation or a diamond pattern, and its upward breakout confirms the continuation of the previous uptrend.
Flag (Bullish) - explanation
The script canfinhome has recently experienced a strong upward movement, and although there was a temporary pause, the price is now continuing its upward trend at a rapid pace. This pause is often seen in a bullish Flag pattern, which is a pattern that occurs during a strong market rally. This pattern is characterized by two parallel trend lines that typically slope downward in the opposite direction to the prevailing uptrend. The bullish Flag pattern is confirmed when the price breaks through the upper boundary of these trend lines, indicating that the upward movement is likely to continue.
Conclusion:
downtrend looks minimal before reaching resistance.
Note for everyone who came across this study:
This chart is only for educational purpose.
This is not buying or selling recommendations.
I am not SEBI registered.
Please consult your financial advisor before taking any trade.
