The pennant graphical price model is a minor, short-term, trend continuation pattern that shows the previous direction will prevail in the future after its formation.
As for the daily chart the pattern is generally formed within a week. For more detailed information on setting the indicator in the terminal, please, follow the link. Once opened Demo you will be supplied with educational materials and online support in your own language.
This pattern is represented by two converging trendlines, support is upward sloping and resistance is downward sloping, visually forming a triangle, which conclude price fluctuations within. The pattern is often characterized by a sharp price entering after intensive movement.
Following a pennant pattern formation the price is generally believed to change in the same direction it was going prior to the pattern by at least the same amount as the price change from the start of the trend to the formation of the pennant. The target level is calculated as follows:. You can see the graphical object on the price chart by downloading one of the trading terminals offered by IFC Markets.
The company has steadily been working since serving its customers in 18 languages of 60 countries over the world, in full accordance with international standards of brokerage services. Corporate clients, click here. Log in to MT4 WebTerminal. About Us About Us. Learn how to create Pennant in NetTradeX trading platform by watching the video. The Best Education is Through Practice.
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