Flag pattern

Discussion in 'Technical Analysis' started by Pekelo, Mar 8, 2018.

  1. Xela


    I'm offering a direct answer to your question because I think nobody else did, yet (I might have missed something - that sometimes happens, too). My answer is "No - it doesn't matter".

    As a matter of "terminological exactitude", the flag pattern is just a specific and fairly readily recognizable instance of the price action that constitutes a post-retracement, trend-resumption entry. As is the case with other price action, there are various different ways of identifying those (examples would be "patterns" and "indicators"). However you identify them, they're a pretty good thing to be able to identify.

    Post-retracement trend-resumptions are only one way to enter trades, of course, but they're a pretty good way, overall.
    #21     Mar 8, 2018
    vanzandt, beerntrading and comagnum like this.
  2. volpri


    What you call them absolutely doesn’t matter. Their function and percentage of functionality are what matters.
    #22     Mar 8, 2018
    Pekelo likes this.
  3. Flags are inside bars on higher time frames.
    #23     Mar 9, 2018
  4. Buy1Sell2


    Hard stops do work when placed outside the noise.
    #24     Mar 9, 2018
  5. volpri


    There is no noise in the markets. I suppose it is a matter of perspective but I see no noise. Ever. Everything thing that happens, happens for a reason, so for me ...no noise.
    #25     Mar 9, 2018
    lcranston, Sprout and Xela like this.
  6. Pekelo


    The markets are full of noise specially in these volatile times. Sometimes the direction is unclear and it is just zigging and zagging up and down, that is noise. There is a flag pattern but occasionally price leaves it for a few seconds just to return, that is noise.
    #26     Mar 9, 2018
  7. volpri


    No noise, not for me as the zigging and zagging indicate the bears and bulls are pushing against one another. “How” it is done and what those bars in the zig zag look look like convey, at least to me, valuable information about who will probally win when the zigging and zagging stops thus i can take a more prudent position in the markets. Plus if the zigging and zagging has a big enough range, since I am a scalper also, I will scalp the dickens out of it over and over.

    For me every tick price moves has meaning. So no noise. Not for me.
    #27     Mar 9, 2018
    lcranston and _eug_ like this.
  8. Buy1Sell2


    Market activity is noise. Effective stops are placed outside the noise.
    #28     Mar 10, 2018
    beerntrading likes this.
  9. Wait, handle's on your ignore? Sure he's politically objectionable, but he's got some good insight into the market. Besides, people I disagree with are so much more exciting than an echo chamber.

    New phrase added to my lexicon! I'm going to make an effort to use that at least once this week in conversation. :D
    #29     Mar 10, 2018
    comagnum, vanzandt and Xela like this.
  10. volpri


    Noise only if you are on the floor......as in a floor trader
    #30     Mar 10, 2018