What Does a Pennant Look Like?

The pattern looks like a small symmetrical triangle called a Pennant, which is made up of numerous forex candlesticks. Depending on the direction of the movement, Pennant patterns are usually described as being bearish or bullish. ... The two converging trendlines form the triangle - the Pennant.

How do you identify a pennant?

In technical analysis, a pennant is a type of continuation pattern formed when there is a large movement in a security, known as the flagpole, followed by a consolidation period with converging trend lines—the pennant—followed by a breakout movement in the same direction as the initial large movement, which represents ...

What is the difference between a pennant and a triangle?

Triangles and pennants look the same, but their timeframes and expectations are different. Pennants are short-term patterns that form after a steep advance or sharp decline. ... Triangles are medium-term or long-term patterns that form independent of the prior move. There are no directional expectations.