Chart cheat sheet
ContinuationBullish
Bull flag
A strong rise pauses in a small downward channel. The pause can let buyers reset before another leg higher.
Educational example of a bull flag. Real charts are messier — the shape is the idea, not a template.
What confirms it
A close above the flag's upper edge in the direction of the earlier rise.
Common trap
A loose, deep pullback is not a flag. If it erases most of the first move, the structure is weak.
Read it in five checks
- 01Trend: Is the higher chart rising, falling or ranging?
- 02Location: Is the setup at real support, resistance or structure?
- 03Close: Did a full candle close beyond the trigger level?
- 04Invalidation: Where does the chart prove the idea wrong?
- 05Reward: Is there enough clear space before the next barrier?
A chart pattern describes price behaviour; it does not predict the next candle. Use it with a trend filter, a defined stop and a tested risk-reward rule. Educational examples only — not trading advice.