What are Forex Continuation Chart Patterns? - Analysis of the 4 Continuation Chart Patterns
When these continuation chart patterns are formed on forex charts they confirm that the current Forex trend is going to continue heading in the same direction.
These continuation forex patterns are used by traders to spot halfway points of the forex trend, this is because they form at the halfway point of a forex market trend.
There are four types of technical analysis for continuation chart patterns:
- Ascending triangle Continuation Pattern Technical Analysis
- Descending triangle Continuation Pattern Technical Analysis
- Bull flag Continuation Pattern Technical Analysis
- Bear flag Continuation Pattern Technical Analysis
Ascending Triangle Continuation Chart Pattern - Forex Technical Analysis
The ascending triangle pattern is formed in an upward forex trend & it shows that upwards forex market direction of the market is going to continue.
Found within a Forex upward trend, the ascending triangle pattern forms as a consolidation period within the forex uptrend and indicates upside continuation will follow.
How to Analyze Ascending Triangle Chart Pattern - Ascending Triangle Continuation Chart Pattern Technical Analysis
The market formed an ascending triangle pattern during its upwards forex market trend which led to upwards side continuation.
The buy signal point is when price clears the upper sloping line of the ascending triangle chart pattern & market continues heading upward.
Descending Triangle Continuation Chart Pattern - Forex Technical Analysis
The descending triangle pattern is formed in a downwards trend & it shows that the downwards direction of price movement is going to continue.
Found within a Forex downward trend, the descending triangle pattern forms as a consolidation period within the downward trend & indicates downside continuation will follow.
How to Interpret Descending Triangle Chart Pattern - Descending Triangle Continuation Chart Pattern Technical Analysis
The market formed a descending triangle pattern during its downward forex trend which led to further selling & continuation of the downward forex trend.
The technical sell signal is when price breaks lower horizontal sloping line of the descending triangle chart pattern as selling resumes to push the market lower.
Bull Flag Continuation Chart Pattern - Forex Technical Analysis
Bull flag chart pattern forms what looks like a rectangle. The rectangle is formed by two parallel lines that act as support and resistance for price until the price breaks out. In general, the flag will not be formed perfectly flat but this pattern will be formed sloping.
Bull flag chart pattern occurs at halfway point of a bullish upwards FX market trend and after a break-out a similar move equivalent to the height of the flagpole is expected.
How to Interpret Bull Flag Pattern - Bull Flag Continuation Chart Pattern Technical Analysis
The Bull flag chart pattern above was just a resting period as the forex market gathered strength to break-out & move higher.
The Bull flag pattern continuation forex trading signal was completed as the upper line of the Bull flag chart pattern was broken to the upside.
Bear Flag Continuation Chart Pattern - Forex Technical Analysis
Bear flag chart pattern flag is found in a Forex downwards trend.
The Bear flag chart pattern is a continuation chart pattern where the price retraces slightly with a narrow price action which has a slight upward tilt.
How to Analyze Bear Flag Chart Pattern - Bear Flag Continuation Pattern Technical Analysis
The Bear flag chart pattern above was just a resting period for forex market prior to more selling.
The Bear flag chart pattern continuation trading signal was confirmed as the lower line of the Bear flag pattern was broken to the downside.
