Flag

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Flag

A pattern reflecting price fluctuations within a narrow range, generating a rectangular area on a graph both prior to and after sharp rises or declines.

Flag

In technical analysis, a situation on a chart in which a security's price undergoes a steep rise or fall, then trades within a narrow price range. When a steep rise proceeds the narrow trading, it looks somewhat like a flag raised on a pole. Many analysts believe that when a flag occurs, the narrow trading is only temporary and will soon be followed by another steep rise or fall. That is, a rise will follow a rise and a fall will follow a fall.

flag

See triangle.
References in periodicals archive ?
It is the Royal Family showing the flag in a very personal and significant way.
We had to do it this way because we were banned from showing the flag openly."
Showing the flag are (left to right) Mauro Sali, president of Palletways Italia; Emanuele Sali, group development manager, Palletways Italia; Craig Hibbert, group development director, Palletways UK; and Julian Maturi, managing director, Palletways UK