What does a w mean in trading

A double top has an ‘M’ shape and indicates a bearish reversal in trend. A double bottom has a ‘W’ shape and is a signal for a bullish price movement.

What is a flag pattern in trading?

What is ‘Flag’ Pattern? A flag chart pattern is formed when the market consolidates in a narrow range after a sharp move. Usually a breakout from the flag is in the form of continuation of the prior trend. Flags give very high risk reward ratio which means relatively small risk and high and quick profits.

Is flag pattern bullish?

Flags are areas of tight consolidation in price action showing a counter-trend move that follows directly after a sharp directional movement in price. The pattern typically consists of between five and twenty price bars. Flag patterns can be either upward trending (bullish flag) or downward trending (bearish flag).

Is flag pattern bullish or bearish?

What is Bullish Flag Pattern? When the prices are in an uptrend a bullish flag pattern shows a slow consolidation lower after an aggressive uptrend. This indicates that there is more buying pressure moving the prices up than down and indicates that the momentum will continue in an uptrend.