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Home›Featured›Forex Flags

Forex Flags

By Ferrara
May 20, 2020
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The Flags Forex is one of the many formations that can be found in the Forex market, and which should be familiar to start trading.

Also known as a flag, this figure usually forms in bullish trends, almost always after a sharp rise and with high volume.

Bandera Forex refers to the highs and lows of a currency with a fairly short duration, since it should not last more than two or three weeks, and are composed of a narrow fluctuation range between two bands. You need to be very vigilant, preferably with daily charts.

Flags are said to be halfway figures because they frequently appear in the midst of an uptrend or downtrend in a currency trade. A price target can be estimated by measuring the flag pole.

The main characteristics of this type of training are:

  • They appear in bull and bear markets
  • They do not cause a change in trend
  • They only imply a lateral rest within the existing trend
  • They are very common figures

Finally, keep in mind that the reliability of the lens is very low. Where the true utility of these figures lies is in understanding them as a means to ratify the trend that is if we have bought at the beginning of one of these formations. The market begins to drop despite the Forex time zone (โซนเวลาForex which is the term in Thai); we must be patient and wait for the trend to resume. They indicate that we are on the good side of the market. Once the bonds are broken, and the trend resumes, the movement is usually explosive.

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