Flags

The following cheat sheet will help you to identify the most common technical patterns that appear in forex charts. Click each heading for more information.

Trend reversals are often led by double top or double bottom chart patterns. If the reversal fails it can lead to a double top/bottom breakout.

The flag pattern is closely related to the pennant. It’s a continuation pattern that tends to indicate that a trend is pausing rather than reversing.

Pennants are usually a reliable indication that a trend is set for a new leg. In other words they serve as good continuation signals.