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o confirm pattern, prices must form a pullback (decline below and close below previously established low). To predict move size, measure height from high to low and project under beltline (Vice versa for double bottom) 15 Flags and pennants are continuation patterns, usually a pause in fast, or almost vertical, price movement. Flags are in the shape of a parallelogram, while pennants are very short triangles. 16 Broadening is a reversal pattern usually found at trend peaks rather than lows. 17 Triangles can be continuation and reversal patterns, this usually determined by the direction which they point. Confirmation is at breakout, and the strongest signals are when breakout occurs between 1/2 and 3/4 the triangle length. Ascending triangles: bullish Descending triangles: bearish Symmetrical triangles: neutral 18 19 Saucers are reversal patterns which are slow and rounding in form (at the end of a move). No clear breakout signals occur because it is so slow。 no clear Support /Resistance areas are found either. This pattern can last a long time. Be on the lookout for any trending activity. 20 Gaps are areas in charts where no trading occurs and are usually continuation patterns. Runaway gaps have strong fundamentals behind move, are not quickly filled. Exhaustion gaps are usually the largest gap, usually filled, and have blowoff characteristics. Breakaway gaps are at end of price pattern or when breaking major support ( or resistance), and are usually filled. 21 Candle sticks 22 Point and Figure charts In a point and figure chart, X39。s are for