NGAS: BEARISH FLAG PATTERN FORMED, WAITING FOR BREAKOUT [4HR]!!!
Hello Traders,
Here we have a valid bearish flag pattern on
NGAS
and now we just have to wait for the breakout, probably to the downside. Flag patterns are also consolidation patterns, just like any other harmonic patterns (cypher, bat, butterfly , crab , gartley). This pattern is usually formed after a strong movement in price action. There are 3 main parts to this pattern: the flag pole, flag portion, and the continuation portion. After a strong movement, a strong selloff in this case, the market starts to consolidate and we expect the market to breakout in the direction of the flag pole, in our case to the downside.
After getting the breakout, the target is equal to the length of the flag pole, which is 315 pips for this setup. Also a key point to keep in mind is that, the longer the market stays within the consolidation zone (flag portion), the stronger the breakout to the downside will be. The invalidation point for this flag pattern is when we get a break AND close above the upper rising trend line of the flag portion. See the chart above for more details.
Please feel free to AGREE or DISAGREE with this idea by leaving a comment below. Hit that thumbs up button (top left corner of this chart) if you like the idea. Thank you everyone for all the SUPPORT that you have given me so far, I truly appreciate it. Good luck everyone :)
Follow me on Twitter as well: moneymaking2016
Here we have a valid bearish flag pattern on
NGAS
and now we just have to wait for the breakout, probably to the downside. Flag patterns are also consolidation patterns, just like any other harmonic patterns (cypher, bat, butterfly , crab , gartley). This pattern is usually formed after a strong movement in price action. There are 3 main parts to this pattern: the flag pole, flag portion, and the continuation portion. After a strong movement, a strong selloff in this case, the market starts to consolidate and we expect the market to breakout in the direction of the flag pole, in our case to the downside. After getting the breakout, the target is equal to the length of the flag pole, which is 315 pips for this setup. Also a key point to keep in mind is that, the longer the market stays within the consolidation zone (flag portion), the stronger the breakout to the downside will be. The invalidation point for this flag pattern is when we get a break AND close above the upper rising trend line of the flag portion. See the chart above for more details.
Please feel free to AGREE or DISAGREE with this idea by leaving a comment below. Hit that thumbs up button (top left corner of this chart) if you like the idea. Thank you everyone for all the SUPPORT that you have given me so far, I truly appreciate it. Good luck everyone :)
Follow me on Twitter as well: moneymaking2016
Bình luận:
UPDATE #2: Hello Traders, we finally got a very favourable breakout of the bar flag pattern. All we need to do now is wait for a valid retest of the broken level before opening a short position :)
Đóng lệnh: đạt mục tiêu:
Hello Traders, target has been hit. All positions are now closed for this setup :)
CHART: