Flag Patterns - tappu
The Flag Patterns indicator is designed to identify flag patterns on a price chart. Flag patterns are short-term consolidation patterns that occur after a strong price move, indicating a temporary pause or continuation of the previous trend. The indicator visually represents the flag pattern by drawing lines on the chart to mark the higher high and lower low within the flag.
The indicator calculates the flag period by considering a specified number of bars. It identifies the highest high (flagHigh) and lowest low (flagLow) within this period. The difference between flagHigh and flagLow represents the height of the flag (flagHeight). The breakout level of the flag is determined by adding a percentage (breakoutThreshold) of the flag range (flagRange) to the flagHigh.
The indicator plots the flagHigh line in green, flagLow line in red, and flag breakout level in blue. Additionally, it draws two lines connecting the flag high and flag low from each flag period to provide a visual representation of the flag pattern. This allows traders to easily identify the flag pattern and its characteristics on the chart.
The indicator also provides background color changes to highlight potential uprising flag and down flag patterns. When the current price closes above the flag breakout level, it suggests an uprising flag pattern, and the background color turns green. Similarly, when the price closes below the flag breakout level, indicating a down flag pattern, the background color turns red.
The Flag Patterns indicator helps traders identify and visualize flag patterns, enabling them to spot potential continuation or reversal signals after a strong price move. However, it's important to perform additional analysis and consider other factors before making trading decisions based solely on the indicator's signals.
Remember to adjust the input parameters, such as the flag period and breakout threshold, according to your trading style and preferences.
The indicator calculates the flag period by considering a specified number of bars. It identifies the highest high (flagHigh) and lowest low (flagLow) within this period. The difference between flagHigh and flagLow represents the height of the flag (flagHeight). The breakout level of the flag is determined by adding a percentage (breakoutThreshold) of the flag range (flagRange) to the flagHigh.
The indicator plots the flagHigh line in green, flagLow line in red, and flag breakout level in blue. Additionally, it draws two lines connecting the flag high and flag low from each flag period to provide a visual representation of the flag pattern. This allows traders to easily identify the flag pattern and its characteristics on the chart.
The indicator also provides background color changes to highlight potential uprising flag and down flag patterns. When the current price closes above the flag breakout level, it suggests an uprising flag pattern, and the background color turns green. Similarly, when the price closes below the flag breakout level, indicating a down flag pattern, the background color turns red.
The Flag Patterns indicator helps traders identify and visualize flag patterns, enabling them to spot potential continuation or reversal signals after a strong price move. However, it's important to perform additional analysis and consider other factors before making trading decisions based solely on the indicator's signals.
Remember to adjust the input parameters, such as the flag period and breakout threshold, according to your trading style and preferences.
Release Notes:
The "Bull Flag Pattern" script is designed to help identify and visualize the bull flag pattern on a price chart. The bull flag pattern is a popular chart pattern that signifies a temporary pause or consolidation in an uptrend before a potential continuation of the upward movement. This pattern consists of two main components: the flag pole and the flag.