How Do I Interpret Bear Flag Chart Pattern?

How Do I Read Bear Flag Chart Pattern?

This bear flag chart pattern is found in a downward trend. The bear flag chart pattern is a trend continuation pattern where the price retrace slightly with a narrow price action that has a slight upward tilt. The sell signal is generated when the price penetrates the lower line of the inverted bear flag chart pattern. The flag portion of this bear flag chart pattern has xauusd price highs and xauusd price lows which can be connected by small lines that are parallel, giving the bear flag chart pattern the look of a small channel - inverted flag.

Interpret Bear Flag Chart Pattern?

The bear flag chart pattern above was just a resting period for the gold market trend prior to more selling and resuming of the downward xauusd trend. The continuation gold signal from the bear flag chart pattern was confirmed when the lower line of this bear flag chart pattern was broken to the downside after which the xauusd trading price moved downward.

Interpret Bear Flag Chart Pattern?