What is a pennant pattern?

A pennant pattern, referred to technical analysis, is a continuation pattern that is seen when a security experiences a large movement to the upside or downside, followed by a consolidation period, before subsequently moving in the same direction. When looking at a pennant pattern, one will identify three distinct phases:

What does a penny continuation pattern look like?

The pattern looks like a small symmetrical triangle called a Pennant, which is made up of numerous forex candlesticks. Depending on the direction of the movement, Pennant patterns are usually described as being bearish or bullish. When looking at a Pennant continuation pattern, you will see the following:

What is a pennant in technical analysis?

A pennant is a continuation pattern in technical analysis formed when there is a large movement in a security, known as the flagpole, followed by a consolidation period with converging trend lines - the pennant - followed by a breakout movement in the same direction as the initial large movement, which represents the second half of the flagpole.

What is a descending triangle pattern?

A descending triangle is a chart pattern used in technical analysis created by drawing one trend line connecting a series of lower highs and a second horizontal trend line connecting a series of lows. A regular descending triangle pattern is commonly considered a bearish chart pattern or a continuation pattern with an established downtrend.