FLAG — A Continuation Pattern. A flag is a period of congestion, less than
4 weeks in duration, which forms after a sharp, near vertical, change in price.
The upper and lower boundary lines of the pattern are parallel, though both
may slant up, down, or sideways. In an uptrend, the pattern resembles a
Flag flying from a mast, hence the name. Flags are also called Measuring or
HalfMast Patterns because they tend to form at the midpoint of the rally or
reaction. Volume tends to diminish during the formation, and increase on
the breakout. Minimum Measuring Formula: add the distance from the
breakout point, which started
4 weeks in duration, which forms after a sharp, near vertical, change in price.
The upper and lower boundary lines of the pattern are parallel, though both
may slant up, down, or sideways. In an uptrend, the pattern resembles a
Flag flying from a mast, hence the name. Flags are also called Measuring or
HalfMast Patterns because they tend to form at the midpoint of the rally or
reaction. Volume tends to diminish during the formation, and increase on
the breakout. Minimum Measuring Formula: add the distance from the
breakout point, which started
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