Community Forex Questions
What is the continuation pattern?
When a price pattern indicates a temporary halt in an established trend, this is referred to as a continuation pattern.
During a continuation pattern in an uptrend or decline, bulls or bears can take a breather and regroup. While the price pattern is forming, no one can predict whether the trend will continue or reverse. Price patterns must be closely monitored to see if they break above or below their continuation zones. Technical analysts frequently assume that a trend will continue until proven otherwise.
Longer and larger price movements within a pattern, as well as price breaks above or below the area of continuation, lead to larger price moves once the area of continuation is breached.

Add Comment

Add your comment