Don’t Be Misled: Sloping Flag Patterns Aren’t What You Think

From dailypriceaction.com

Are all flag patterns created equal? Sure, they can come in different shapes and sizes, but as far as how to trade them, a flag is a flag, right? Not exactly. For the most part, these patterns represent a continuation of the current trend. So if the market is trending higher and forms a flag, chances are it will break to the upside. The opposite applies to a market in a downtrend. But here’s the thing, a flag is only a continuation pattern if it forms at an angle that is against the current trend. If it slopes with the trend, it doesn’t fit the mold. What does this mean for you? It means that if you aren’t ... (full story)