About this image :-
This is a Flag pattern on chart now we have to learn how to trade on flag pattern as you know that every pattern is important for every situation so we need to learn every pattern.
What is Flag pattern :-
The flag pattern is like the flag that means first to first see you our post image in this image a pattern like flag this is called flag pattern. Flag pattern is similar to flag that means like a flag in any chart if form this type of image then we can say that this is a flag pattern.
How to identify flag pattern :-
First to first see our image if any chart form a pattern like this then we can identify this is a flag pattern. in this pattern price is suddenly move upside or downside and then for some time price sideways then this way we can identify flag pattern.
How to trade on flag pattern :-
First we need to see chart and search flag pattern if any chart form flag pattern like our image then focus on our chart for trade and when flag pattern breakdown and breakout is form then we can trade. This way we can trade on flag pattern in live market.
When should we buy on this pattern :-
If our stock is uptrend and make flag pattern in upper side then we should wait for breakout in upper side. When breakout in upper side with strong green candle then wait again for at least two more candle and then two more candle is form and candle colour is green then we need to measure our stop loss then if stop loss is our range then we can buy any stock according our strategy. This way we can buy stock on this pattern.
When should we sell on this pattern :-
If our stock is downtrend and make flag pattern in lower side then we should wait for breakdown in lower side. When breakdown in lower side with strong red candle then again wait for at least two more candle and then two more candle is form and candle colour is red then we need to measure our stop loss then if stop loss is our range then we can sell any stock according our strategy. This way we can sell stock on this pattern.
Conclusion of this post :-
The conclusion is that first to first we need follow our all rules after then we need to also practice.
If our practice is hard and strong then we get success as you know that so our practice is most important for any pattern and also in this pattern. Our risk management is also most important with our price action then we can become a good trader.
