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	<title>Bearish Patterns &#8211; PatternSmart.com</title>
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	<title>Bearish Patterns &#8211; PatternSmart.com</title>
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		<title>Bullish Flag and Bearish Flag chart pattern indicators</title>
		<link>https://patternsmart.com/wp/bullish-flag-and-bearish-flag-chart-pattern-indicators/</link>
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		<pubDate>Mon, 06 Mar 2023 23:18:50 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Bullish Patterns]]></category>
		<category><![CDATA[Chart Pattern]]></category>
		<category><![CDATA[Indicator]]></category>
		<category><![CDATA[Ninjatrader]]></category>
		<guid isPermaLink="false">https://patternsmart.com/wp/?p=837</guid>

					<description><![CDATA[General&#160;Description The&#160;flag-shaped&#160;pattern,&#160;as&#160;the&#160;name&#160;implies,&#160;resembles&#160;a&#160;flag&#160;that&#160;hangs on&#160;the&#160;top&#160;of&#160;a&#160;flagpole.&#160; The&#160;formation&#160;of&#160;the&#160;pattern&#160;usually&#160;occurs&#160;when&#160;the&#160;market&#160;is&#160;volatile&#160;and&#160;prices&#160;move rapidly, either&#160;on&#160;an&#160;uptrend&#160;or&#160;a&#160;downtrend.&#160;It’s&#160;a&#160;continuation&#160;pattern&#160;that&#160;indicates&#160;the&#160;current&#160;trend&#160; would&#160;resume&#160;after&#160;a&#160;period&#160;of&#160;consolidation.&#160;During&#160;the&#160;process,&#160;the&#160;price,&#160;after&#160;a&#160;series&#160;of&#160;narrow&#160; ranged&#160;fluctuations,&#160;forms&#160;a&#160;rectangle&#160;that’s&#160;slightly&#160;tilted&#160;in&#160;the&#160;opposite&#160;direction&#160;from&#160;the&#160;original&#160; trend.&#160;&#160;From&#160;the&#160;geometric&#160;point&#160;of&#160;view,&#160;the&#160;pattern&#160;is&#160;called&#160;a&#160;parallelogram.&#160;&#160; The&#160;flag-shaped&#160;price&#160;movement&#160;can&#160;be&#160;divided&#160;into&#160;two&#160;types:&#160;Bullish&#160;Flag&#160;and&#160;Bearish&#160;Flag.&#160; Bullish&#160;Flag After&#160;the&#160;market&#160;has&#160;undergone&#160;a&#160;steep&#160;surge,&#160;a&#160;downward&#160;sloping&#160;area&#160;is&#160;formed&#160;with&#160;a&#160;narrow&#160; price&#160;change.&#160;Two&#160;trend&#160;lines&#160;can&#160;be&#160;drawn&#160;by&#160;connecting&#160;the&#160;highs&#160;and&#160;lows&#160;of&#160;this&#160;area.&#160; These&#160;two&#160;lines&#160;are&#160;parallel,&#160;and&#160;in&#160;the&#160;opposite&#160;direction&#160;of&#160;the uptrend, as&#160;shown&#160;in&#160;the&#160;picture&#160;above.&#160; It’s&#160;the&#160;phase&#160;for&#160;buyers&#160;to&#160;take&#160;a&#160;break&#160;to&#160;regroup&#160;and&#160;recharge.&#160; The&#160;upper&#160;and&#160;lower&#160;parallel&#160;lines&#160;act&#160;as&#160;resistance&#160;and&#160;support&#160;respectively.&#160;&#160; After&#160;the&#160;pattern&#160;is&#160;broken&#160;to&#160;the&#160;upside,&#160;the&#160;price&#160;will&#160;continue&#160;the&#160;previous&#160;bull&#160;trend&#160;and&#160;move&#160; higher.&#160;&#160;From&#160;a&#160;trader’s&#160;perspective,&#160;entry&#160;points&#160;can&#160;either&#160;be&#160;after&#160;the&#160;price&#160;breaks&#160;through&#160;the&#160; upper&#160;trendline&#160;or&#160;at&#160;bottom&#160;of&#160;the&#160;flag,&#160;the&#160;latter&#160;gives&#160;the&#160;trader&#160;advantages&#160;to&#160;set&#160;up&#160;the&#160;position&#160; ahead&#160;of&#160;another&#160;upward&#160;trend.&#160;&#160;The&#160;length&#160;of&#160;the&#160;flagpole&#160;can&#160;be&#160;measured&#160;as&#160;a&#160;potential&#160;profit.&#160; Key&#160;points: ·&#160;It&#160;usually&#160;occurs&#160;after&#160;a&#160;large-scale&#160;uptrend&#160;with&#160;a&#160;rapid&#160;price&#160;rise. ·&#160;The&#160;volume&#160;is&#160;noticeably&#160;decreasing&#160;throughout&#160;the&#160;flag-forming&#160;process. ·&#160;The&#160;flag&#160;pattern&#160;is&#160;a&#160;short-term&#160;pattern,&#160;the&#160;formation&#160;period&#160;generally&#160;does&#160;not&#160;exceed&#160;20&#160;trading&#160;days,&#160;oftentimes,&#160;each&#160;rally&#160;and&#160;pullback&#160;lasts&#160;three&#160;to&#160;four&#160;days.&#160;Traders&#160;should&#160;be&#160;cautious&#160;If&#160;a&#160;breakout&#160;does&#160;not&#160;happen&#160;after&#160;three&#160;weeks.&#160;&#160;It’s&#160;rare&#160;to&#160;see&#160;a&#160;flag&#160;pattern&#160;on&#160;a&#160;monthly&#160;chart.&#160;If&#160;the&#160;consolidation&#160;period&#160;is&#160;too&#160;long,&#160;it&#160;may&#160;form&#160;a&#160;top. ·&#160;A&#160;volume&#160;spike&#160;at&#160;the&#160;breakout&#160;point&#160;serves&#160;as&#160;strong&#160;evidence&#160;to&#160;confirm&#160;the&#160;pattern. ·&#160;Two&#160;trendlines&#160;are&#160;parallel&#160;to&#160;each&#160;other,&#160;unlike&#160;pennant,&#160;where&#160;two&#160;lines&#160;are&#160;converging. Advantages ·&#160;Flag&#160;patterns&#160;can&#160;be&#160;used&#160;to&#160;explain&#160;major&#160;breakouts,&#160;and&#160;if&#160;the&#160;breakout&#160;is&#160;confirmed,&#160;a&#160;significant&#160;price&#160;rise&#160;is&#160;expected&#160;afterward. ·&#160;It&#160;presents&#160;an&#160;attractive&#160;potential&#160;reward&#160;where&#160;a&#160;trader&#160;can&#160;enter&#160;a&#160;trade&#160;before&#160;the&#160;price&#160;takes&#160;off;&#160;it&#160;also&#160;comes&#160;with&#160;relatively&#160;low&#160;risk&#160;where&#160;the&#160;stop&#160;loss&#160;can&#160;be&#160;set&#160;at&#160;low&#160;points&#160;on&#160;the&#160;lower&#160;trendline.&#160;&#160;If&#160;comparing&#160;the&#160;length&#160;of&#160;the&#160;pole&#160;(potential&#160;profit)&#160;to&#160;the&#160;width&#160;of&#160;the&#160;flag&#160;(potential&#160;risk),&#160;the&#160;ratio&#160;can&#160;be&#160;lucrative.&#160; ·&#160;It&#160;works&#160;on&#160;most&#160;of&#160;the&#160;time&#160;frames&#160;and&#160;chart&#160;types. ·&#160;It’s&#160;known&#160;as&#160;one&#160;of&#160;the&#160;reliable&#160;continuation&#160;patterns.&#160; The&#160;pattern&#160;is&#160;not&#160;easy&#160;to&#160;recognize&#160;for&#160;a&#160;novice&#160;trader.&#160;We&#160;are&#160;proud&#160;to&#160;present&#160;you&#160;with&#160;our&#160; powerful&#160;tool,&#160;“Bullish&#160;Flag&#160;Chart&#160;Pattern&#160;Indicator”.&#160;&#160;It&#160;will&#160;automatically&#160;draw&#160;two&#160;trend&#160;lines&#160;of&#160; the&#160;Bullish&#160;Flag&#160;on&#160;the&#160;chart&#160;when&#160;the&#160;pattern&#160;is&#160;formed,&#160;so&#160;you&#160;can&#160;be&#160;informed&#160;and&#160;prepared&#160; when&#160;the&#160;opportunities&#160;come. Bearish&#160;Flag After&#160;the&#160;price&#160;falls&#160;sharply,&#160;it&#160;starts&#160;a&#160;choppy&#160;price&#160;movement&#160;to&#160;the&#160;upside&#160;known&#160;as&#160;the&#160; consolidation&#160;period.&#160; If we&#160;connect&#160;the&#160;highs&#160;and&#160;lows&#160;with&#160;a&#160;straight&#160;line,&#160;we&#160;will&#160;get&#160;a&#160;parallelogram&#160; that’s&#160;titled&#160;to&#160;the&#160;upper&#160;right,&#160;as&#160;shown&#160;in&#160;the&#160;picture&#160;above.&#160;&#160;This&#160;rectangular&#160;graph&#160;resembles&#160;the&#160; shape&#160;of&#160;a&#160;flag,&#160;and&#160;the&#160;sharp&#160;price decrease, is&#160;often&#160;called&#160;the&#160;“flagpole”.&#160;&#160;&#160; The&#160;formation&#160;of&#160;the&#160;bearish&#160;flag&#160;pattern&#160;reflects&#160;the&#160;situation&#160;where&#160;the&#160;sellers&#160;are&#160;willing&#160;to&#160;sell&#160; at&#160;a&#160;lower&#160;and&#160;lower price, and&#160;the&#160;buyers&#160;are&#160;actively&#160;searching&#160;for&#160;a&#160;bargain.&#160; This&#160;balance&#160;of&#160;power&#160;causes&#160;the&#160;price&#160;to&#160;bounce&#160;between&#160;upper&#160;and&#160;lower&#160;trendlines.&#160;&#160; After&#160;one&#160;party’s&#160;funds&#160;are&#160;exhausted,&#160;the&#160;direction&#160;of&#160;the&#160;trend&#160;will&#160;emerge&#160;again,&#160;here,&#160;there&#160;is&#160; a&#160;high&#160;probability&#160;that&#160;the&#160;future&#160;trend&#160;will&#160;continue&#160;to&#160;decline.&#160;&#160;&#160; Key&#160;points: ·&#160;The&#160;bearish&#160;flag&#160;usually&#160;takes&#160;about&#160;2&#160;weeks&#160;to&#160;form,&#160;sometimes&#160;even&#160;longer. [&#8230;]]]></description>
		
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		<title>NinjaTrader NT8 Bearish Pennant Chart pattern indicator with alert</title>
		<link>https://patternsmart.com/wp/ninjatrader-nt8-bearish-pennant-chart-pattern-indicator-with-alert/</link>
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		<dc:creator><![CDATA[admin]]></dc:creator>
		<pubDate>Wed, 22 Jan 2020 02:51:46 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Chart Pattern]]></category>
		<category><![CDATA[Indicator]]></category>
		<category><![CDATA[Ninjatrader]]></category>
		<guid isPermaLink="false">http://patternsmart.com/wp/?p=715</guid>

					<description><![CDATA[This indicator will automatically detect Bearish Pennant&#160; chart pattern. It will draw two trend lines of the Bearish Pennant&#160; on chart when the pattern is formed. Features: &#160;&#160;&#160; Drawing Bearish Pennant&#160; chart pattern for both realtime and historical data. &#160;&#160;&#160; Adjustable length of pattern legs. &#160;&#160;&#160; Using different combination of parameters, you can easily identify [&#8230;]]]></description>
		
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		<title>Upside Gap Two Crows</title>
		<link>https://patternsmart.com/wp/upside-gap-two-crows/</link>
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		<pubDate>Sun, 26 Apr 2015 21:56:03 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Upside Gap Two Crows]]></category>
		<guid isPermaLink="false">http://patternsmart.com/wp/?p=46</guid>

					<description><![CDATA[Upside Gap Two Crows Upside Gap Two Crows is a bearish reversal pattern made up of three bars. How to Identify: The 1st bar is long and bullish and continues the uptrend; The 2nd bar is bearish and gaps up from the 1st bar; The 3rd bar is bearish and its Open price is higher [&#8230;]]]></description>
		
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		<title>Two Crows</title>
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		<pubDate>Sun, 26 Apr 2015 21:50:57 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Two Crows]]></category>
		<guid isPermaLink="false">http://patternsmart.com/wp/?p=44</guid>

					<description><![CDATA[Two Crows Two Crows is a bearish trend reversal candlestick pattern made up of three bars. How to Identify: The 1st bar is long and bullish and continues the uptrend; The 2nd bar is bearish and gaps up from the 1st bar; The 3rd bar is bearish and has the Open price inside the 2nd [&#8230;]]]></description>
		
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		<title>Thrusting pattern</title>
		<link>https://patternsmart.com/wp/thrusting-pattern/</link>
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		<pubDate>Sun, 26 Apr 2015 21:49:46 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Thrusting]]></category>
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					<description><![CDATA[Thrusting Thrusting is a bearish pattern made up of two bars. How to Identify: The 1st bar is bearish and continues the downtrend; The 2nd bar is bullish, opens at a new Low price and closes in the lower half of the previous bar&#8217;s body. We use our proprietary data-mining algorithm to capture specific price [&#8230;]]]></description>
		
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		<title>Three Outside Down candlestick pattern</title>
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		<pubDate>Sun, 26 Apr 2015 21:47:41 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Three Outside Down]]></category>
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					<description><![CDATA[Three Outside Down Three Outside Down is a bearish candlestick pattern made up of 3 bars. How to Identify: The 1st bar is bullish and continues the uptrend; The 2nd bar is long and bearish and its body engulfs the 1st bar&#8217;s body; The 3rd bar is bearish and its Close price is lower than [&#8230;]]]></description>
		
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		<title>Three Inside Down candlestick pattern</title>
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		<pubDate>Sun, 26 Apr 2015 21:45:28 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Three Inside Down]]></category>
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					<description><![CDATA[Three Inside Down Three Inside Down is a bearish candlestick pattern made up of 3 candles. How to Identify: The 1st bar is long and bullish and continues the uptrend; The 2nd bar is short and bearish and its Open and Close prices are within the 1st bar&#8217;s body; The 3rd bar is bearish and [&#8230;]]]></description>
		
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		<title>Three Black Crows candlestick pattern</title>
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		<pubDate>Sun, 26 Apr 2015 21:42:20 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Three Black Crows]]></category>
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					<description><![CDATA[Three Black Crows Three Black Crows is a bearish candlestick pattern made up of 3 candles. How to Identify: All the 3 candles are long and bearish and appear after the uptrend; Each candle has the Close price lower than that of the previous one; Each candle opens near the previous candle&#8217;s Close price. We [&#8230;]]]></description>
		
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		<title>ShootingStar candlestick pattern</title>
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		<pubDate>Sun, 26 Apr 2015 21:32:46 +0000</pubDate>
				<category><![CDATA[Bearish Patterns]]></category>
		<category><![CDATA[Shooting Star]]></category>
		<guid isPermaLink="false">http://patternsmart.com/wp/?p=33</guid>

					<description><![CDATA[ShootingStar Shooting Star is a bearish trend reversal candlestick pattern consisting of two candles. How to Identify: The first candle is bullish and continues the uptrend; The second candle is short and gaps up from the first candle; The second candle has a long upper shadow and does not have the lower one. We use [&#8230;]]]></description>
		
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