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Bearish Pennant

Gold's descending/bearish pennantWe was supposed to post this idea yesterday when Gold was still around 1717, we did our analysis and with our fractals lined up perfectly, we were able to see the bearish pennant even without trend lines. In our previous idea, we talked about Gold's Head and Shoulder pattern, it has completed a shoulder and it's still trying to form a bottom for it's head, it hasn't really found that support to hold it''s head yet, whenever there's a support, it breaks it and makes another low. Gold did a fakeout to around 1687 and revered back up to 1699. My Idea is that if it breaks below the pennant without faking out, we are getting a move down to the 1650 area but if it doesn't break below the pennant, we are definitely getting a retest of the resistance at the 1720 area . This is not financial advise, this idea is for educational purposes only and a way of giving you guys another perspective different from your own.
FX_IDC:XAUUSD
by LaBOSS_FX
Current 1 day chart chess board. Currently in a 1day chart bear pennant that has a breakdown target of 8.4k or so but could see a reversal at the golden pocket in the 9.2-9.5k range instead of reaching the entire breakdown target. We've also already tested the weekly chart 21 ema(not shown here) as confirmed support so there's a chance of a reversal here but seeing as how we have yet to fill the 9.7k CME futures gap(not shown here) I have a feeling we at least will send a bottom wick down to do that. It is unlikely it will stop there however as too many traders will be anticipating a reversal right after the gap fill so I'm guessing it will overshoot the gapfill target and head lower than 9.7k At this current point and time anything is possible but based on the current shape of the descending bear pennant it looks like we should see some form of a breakdown or breakout around september 14th if not earlier. Setting phasers to neutral for now.
COINBASE:BTCUSD
by DrDovetail
1
Bearish Pennant on AUDJPY - Anticipating Bearish TrendThere's a clear bearish pennant forming on the AUDJPY in the 15-minute timeframe. A bearish pennant forms when a triangle appears following a sharp downtrend. It is a continuation pattern that signifies a move lower. Recent news suggests Australia is struggling to contain COVID-19, given a surge in cases in Victoria (Australian state). As a result, it seems that lockdowns will have to be extended beyond what was initially expected. This fundamental reason combined with the bearish pennant chart pattern makes for a strong short opportunity.
Short
by Muqsitali
AUDJPY : Bearish Pennant ImprovisationHi. It is a period in which the relative data flow in the markets is weak and the uncertainty is high and so I found pattern searching correct. Trade parameters have been expanded to increase the Risk / Reward Ratio. Parameters : Position Size : %1 (0.01) Risk/Reward Ratio : 3.00 Leverage : Max (Minimum 50x) Stop-Loss : 75.370 Goal : 71.164 Extra Support Levels for Take Profit Points : Fibo 0.786 => 73.172 Fibo 0.618 => 71.864 (Major Support) Regards.
Short
by Noldo
USDJPY 1H Bearish Pennant Short TradeWhat are Pennant Patterns? Flag and Pennants meaning Pennant patterns form after a strong price movement. This is because after a strong upward or downward movement the buyers or the sellers take a break and battle for a short period before the trend eventually breaks out and continues the primary trend. Step #1 Apply Parabolic SAR indicator to the chart. The Parabolic SAR indicator will show you where the main trend is heading. Check out our Parabolic SAR strategy here if you want to specifically trade with this indicator. With this strategy, we have this on the chart to help us make a great trading decision when it comes time to make an entry/exit the trade. Step #2 Find a Strong Bullish, Bearish Trend Most likely you will see this occur with 2-5 strong consecutive bullish or bearish candles. There are no Retracement candles; these should be unsustainable upward or downward candles. Notice that the parabolic SAR dots are above the candles, which is an indication that the trend is pushing down. If the dots are below the candles, the trend is going up, if they are above the candles the trend is going down. Step #3 Analyze Consolidation After Big Price Move. After a large pip downward move you see that many sellers got out of this trade and took their profit. Now what is most likely to occur is that there will be a short battle between the buyers and sellers at this point before a new wave of sellers will take over and drive the price down again! You want to be one of those sellers, and that is why having a strategy like this is so important to have. Some see that move and have no idea what happened and where they should enter if the trend will continue. But you will not be one of them after you learn this strategy. Step #4 Draw Pennant that is Forming. #1- Draw a line on the Strong Bearish candles that formed #2, #3- Draw a line on the higher lows and lower highs (If you down know what these are tap here and I go into detail about this in our Breakout triangle strategy) Once you do this, you are now prepared to find an entry if it breakout out of this pennant. Step #5 The Breakout. Ah yes… The best part of this strategy is seeing that price breakout of the pennant you drew on the chart. **Note Since this is a Bearish Pennant the price will need to breakout of the bottom of the pennant. If this were a Bullish Pennant, you would have needed to see the price breakout above. If the price breaks above the pennant, I would not enter a trade based off of the rules of this strategy. However, there are strategies you can use to trade this but for the PPG trade strategy if the prices break above the pennant in a bearish pennant then avoid trading. The same goes for a bullish pennant. If it breaks below the pennant, then do no take the trade. After Breakout, Make The Trade with this Pennant Forex Strategy. #1 Enter on breakout candle close. #2 So once the price breaks out of the pennant, you are technically safe to make a trade if it’s a strong breakout candle. This is a great place to trade because if the trend continues you are in a great place to be! Note** (This is the advanced entry position) The reason is that this is advanced is that it takes more of a price action analysis that beginner traders may not know what to be looking for. #3 Another place you could make your entry is when the price breaks the top of the pennant. (For beginner traders I recommend this entry position) All you do is draw a horizontal line at the bottom of the pennant, and once the price action breaks this you make a sell entry: Step 6 To place you stop loss, determine a support/resistance area and place in below this in a buy trade or above this area in a sell trade. Step 7 The price should move rapidly, and you should be in profit in a short period. The rule of thumb with these pennant patterns that the second breakout will move as far as the first. The first bullish trend, as you recall me saying, moved 78 pips in 3 hours. So we technically could shoot for another 78 pip move. Always be mindful of price action when you are in a trade, though. Personally, I stay in a trade with this strategy until I see price action consolidating by analyzing Parabolic SAR and studying the price movement. That is what’s nice about the Parabolic SAR. When you see something like that (5 consecutive dots), you can have a good idea as to what the trend may do shortly. If you spot this occurring and you see price action consolidating then consider a trailing stop, or exiting the trade altogether. Today we want to take a look at a great pennant forex trading strategy. You will learn what a bullish pennant and what a bearish pennant is and how to make a pennant flag. This strategy similar to our breakout triangle strategy we have developed a while back, but only this strategy trades distinct flag pattern technical analysis. You see above that the “pole” if you want to call it that had a strong upward movement (nearly verticle). The buyers then began to close their positions and made the trend stall and form what’s called a pennant pattern. Some sellers got in before new buyers made entries and eventually kept the main trend going to the upside. This is essentially what happens every time a pennant pattern is formed. There are two types of pennants that form on charts: 1. Bearish Pennant= This bearish flag is formed after there is a strong downtrend (nearly verticle). The sellers close their positions to and take the profit. This consolidation will then lead to other sellers getting on board and, hence, the price will again be pushed down. 2. Bullish Pennant= This bullish flag formed after there is a strong uptrend (nearly verticle). The buyers close their positions to and take the profit. This consolidation will then lead to other buyers getting on board and, hence, the price will again be pushed up. Once the price breaks either of these “pennants”, you most likely want to get on board and trade these because the price is ready to take off and continue the main trend due to all the sellers/ buyers getting in at the same time. We discussed this in our other article that talks about traders making trading decisions at certain places on the charts. Think about it, everyone is looking at the same charts and are seeing the same thing. When a breakout occurs, everyone sees this happen and makes a trade decision. Also, read about Scaling in and Scaling out in Forex. The PPG trading strategy uses a few elements to help you determine a trade entry: Parabolic Sar Indicator Lines Drawn By You Price Action Analysis You can trade this strategy on any time frame. I prefer trading this on 30 min time frames and up but this still can work on 1m-15 minute charts.
Short
by Tradingstrategyguides
2