Bull Flag
Please have a look at the image below.
You can see the bull flag pattern is encompassed by two parallel lines.
These lines can be either flat (representing sideways movement) or pointed downward (representing the consolidation in the market).
The pole of the flag is formed by the big move upwards which completes the bull flag.
The pattern is seen as the market potentially just taking a “breather” after a big move before continuing its move upward and is thus referred to as a bullish pattern.
Now coming to the actual point as when to enter in to a trade using this patern.
First of all calculate the height of your bull flag’s pole.
Now when the prices break out from the parallel line (ofcourse the upper line as the trend is bullish) we enter in the trade.
The lowest point in the parallel line is your 1st Stop and target is the length of your flag’s pole.
Thanks a lot.
You are excellent ..
Comment by Chirag — May 22, 2008 @ 8:11 am
Dear Visitors,
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Its like NSE and BSE
both are running out of volumes due to weak stock market trend from the beginning of 2008. We have seen new highs of Nifty and Sensex in the past and now they are trading on lower sides which is hampering the confidence of traders and investors. Fall in BSE
and NSE
resulted in lost of around 60% – 70% portfolio of investors though traders are minting money in week market too.
One point to be noted and learned is that people are investing money by ignoring all fundamentals and technical aspects. We request all of investors and traders that Invest money wisely its hard earned money do research work only then invest if you don’t have time to do research work let professionals do it for you.
Think twice thrice before investing blindly without backed by technical and fundamental research.
Have a Nice trading days ahead.
Regards
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Comment by ShareTipsInfo.com — May 23, 2008 @ 2:50 pm
Share market has seen bad days in the near past but now it seems to have started recovering. This is a welcoming news for all those who have a stake in the share market.
Share Market of India
Comment by Priya — July 16, 2009 @ 4:54 pm