Trans Flag: The Meaning Behind the Transgender Pride Flag and Colors

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At the end of the countertrend (flag), a continuation of the upward trend is indicated by a rise in price above the upper boundary of the flag. A bull flag pattern is a bullish trend of a stock that resembles a flag on a flag pole. The stock history shows a sharp rise which is the flag pole followed by an up and down trading pattern. Learning to recognize a bull flag pattern can help investors identify further upward trends for a stock. The break of the flag, which occurs in the third stage of the bull flag pattern, offers the optimal entry signal.

In this case, the consolidation takes a bit more time than usual, but it is not an aggressive correction lower. The price action actually moves more in a sideways fashion, but still with an overall bias lower, as the buyers consolidate their power. Finally, there is a break to the upside, which takes the price action aggressively higher. Overall, both are bullish patterns that facilitate an extension of the uptrend.

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  • Price corrections are frequently framed by pennants, downtrend channels or sideways movement.
  • With many trans rights under attack nationwide right now, there may be no better time to learn more about the flag and its deep meaning for the trans and nonbinary community.
  • The bull flag formation is a technical analysis pattern that resembles a flag.

The previous swing high will serve as the initial profit objective for the bullish flag pattern, and the consolidation structure might serve as the stop-loss level. As shown by the bull flag chart pattern above, traders have been buying risk through commodities, the stock market, and risk-based currencies. As a result, the AUD performed well against most other currencies in part because it offers a higher rate of return owing to its interest rate. Hence, traders have a fundamental back drop to support the technical picture for additional strength in AUD.


If it’s money and wealth for material things, money to travel and build memories, or paying for your child’s education, it’s all good. We know that you’ll walk away from a stronger, more confident, and street-wise trader. Our traders support each other with knowledge and feedback. People come here to learn, hang out, practice, trade stocks, and more. Our trade rooms are a great place to get live group mentoring and training. Bull flags can be found on any time frame you use for trading.

Successful trading relies on having good information about the market for a stock. Price information is often visualized through technical charts, but traders can also benefit from data about the outstanding orders for a stock. In this article, we’ll be detailing the inverse version of the well-known head and shoulders chart pattern so you can start effectively incorporating it into your trading.

It would be best to have the volume on the first move, along with consolidation. A common exit plan on a bull flag pattern is to place your stop at the lowest part of the flag after you enter on its volume peak. And when you decide to exit there, make sure to follow through.

You can either enter on the break of the highs or wait for the market to close above the highs. Whatever the case is, this is a sign of strength and the market could breakout higher. So, if you see a steep pullback with large range of candles, then it’s probably not a Bull Flag Pattern.

Trading with the Market strategy

Just about every one of the unique identities that make up the LGBTQ+ community has its own flag. If you want to discover whether the market is a trending or a mean-reverting market, you can check out the first section of this article. If a Bull Flag Pattern is formed, then place a buy stop order above the swing high.

2-3 Pattern: candlestick model trading

That being said, they are both very similar and should be treated almost identically, just in different trending contexts. There are many options for protecting this type of trade with a stop loss. Longer-term traders often set their stops below the entire flag, and other traders employ tighter stops such as a two-bar stop. Leveraged trading in best shares to buy foreign currency or off-exchange products on margin carries significant risk and may not be suitable for all investors. We advise you to carefully consider whether trading is appropriate for you based on your personal circumstances. We recommend that you seek independent advice and ensure you fully understand the risks involved before trading.

Key tips about bull flag chart pattern

A bull flag is a bullish stock chart pattern that resembles a flag, visually. The pattern occurs in an uptrend wherein a stock pauses for a time, pulls back to some degree, and then resumes the uptrend. Bullish and bearish flags are important continuation patterns you can use in the market today. Still, we recommend that you spend a lot of time learning them before you try them with actual funds.

Megaphone Pattern

You could sustain a loss of some or all of your initial investment and should not invest money that you cannot afford to lose. Another popular strategy when using the bullish flag is to use a buy stop order. In this case, you should place a buy stop slightly above the upper side of the flag. If there is indeed a bullish breakout, the buy stop will become the new buy order. Whenever a strong gap happen, many bullish investors are known to exit their trades on profit-taking. The length of the exit line from a downward consolidation phase is proportionate to the length of the flagpole.

In this example you have AMC breaking out of its prior trading range on increased volume. The optimal place to buy a bull flag breakout is once the trend begins to shift once again in the desired direction. In this 30-minute chart example, you can see that the first candle to make a new high inside the bull flag becomes the breakout candle. Now, premarket penny stock movers inside this trading range we’ve drawn, you’ll see the “current” day we are wanting to trade inside the blue oval. Within that range, a bull flag begins to form mid-day, right at the middle of the trading range. Nonetheless, for a pennant pattern to be bullish, you want it to have similar characteristics to a bull flag with regard to volume.

In most cases, this usually happens during a period of low volume. A bull flag breakout happens when a large bullish candlestick forms a flag pole with consolidation manual trade candles that pull back near support levels. When a bullish candlestick breaks above the consolidation of a flag then that’s when a potential breakout is occurring.

While CMN could enter another parabolic rise, often a stock will come back to test the breakout area a few sessions later, offering a second entry. The below chart highlights an upside breakout from a bull flag pattern, which is accompanied by a high-volume bar. The high volume confirms the breakout and suggests a greater validity and sustainability to the move higher. In this report, we will look at a price action that is known as a bull flag that traders use to identify points to enter trade. We will look at what a bullish flag is, its difference with bearish flag, and its examples. The price breakout is preceded by large volumes, so when using the bull flag patterns, make sure to monitor their changes.






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