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Bull Flag

The Bull Flag appears in an uptrend, allowing the market to rest before continuing higher.

PoleBULL FLAGBull Flag: Strong rise → Consolidate → Continue rise

Pattern Details

Category

continuation

Success Rate

85%

Average Move

+14%

Duration

1-3 weeks

Pattern Structure

Pattern Structure
Key components that define this chart pattern
  • 1
    Flagpole: Strong advance over several sessions
  • 2
    Flag portion: Minor pullback, declining
  • 3
    Breakout: Price continues upward

Trading Rules

Trading Rules
Essential rules for trading this pattern successfully
  • ✓
    Enter long position when price breaks above flag resistance
  • ✓
    Volume decreases during flag formation
  • ✓
    Target = Length of flagpole measured from breakout point
  • ✓
    Stop loss placed below flag low
Trading Tips
  • Flag should slope slightly downward
  • Flagpole should have high volume
  • Breakout should have increased volume

Statistics

Breakout Statistics
Bullish Breakout85%
Bearish Breakout15%
Performance Metrics
Average Rise+14%
Average Decline-0%
Pullback Rate5%