Bull Flag Pattern guide for Technical Analysis & Trading Strategy

rising bull flag

Open the daily timeframe chart and highlight the highs and lows of the daily candlestick. The high and lows of daily candlesticks form a trend on the lower timeframe. For example, if there are three bullish candlesticks on a daily timeframe forming a higher high and higher low, then the higher timeframe trend is bullish. Most of you know it, but it seems that most of you don’t know how to trade it properly… (while markets exist)

Most technical analysts do know this as one of many harmonic patterns…

A bull flag resembles the letter F, just like the double top pattern looks like an “M” letter and a double bottom pattern – a W letter. Following the creation of a short-term peak, the price action starts a correction to the downside. While no one knows whether the market rising bull flag rally will continue or reverse, traders should follow price action and let the probabilities take care of the rest. While all chart patterns are susceptible to false signals and surprise moves, bullish flags are among the most reliable and effective patterns.


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  • Buying the breakout means that traders will enter long positions when the price breaks out above the resistance level.
  • The rising wedge pattern is one of the numerous tools in technical analysis, often signaling a potential move in the asset or broader market.
  • The flagpole (the blue ascending trend line) covers the beginning of an uptrend.
  • The flagpole forms on an almost vertical price spike as sellers get blindsided from the buyers, then a pullback that has parallel upper and lower trendlines, which form the flag.
  • The second is that the range of a previous channel can indicate the size of a subsequent move.
  • While the lines are sloping down, they should remain relatively parallel to each other.

In this post, I will try to address these questions by presenting a couple of theories about the nature of bull flags. The bull flag formation is a technical analysis pattern that resembles a flag. The flag is considered to be a continuation pattern, which means that it forms during an uptrend and indicates that the trend will continue once the pattern is complete. On the other hand, experienced, professional traders rely upon hard rules to govern their trading entries and exits.

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Any statements about profits or income, expressed or implied, do not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. 4H+FVG entry (pending order)

Entry at the high, middle, and low with risk on each set 0.25% for the high, 0.50% at the middle and 1.0% at the low.

rising bull flag

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