| Continuation Pattern |
 A technical analysis pattern that suggests a trend is exhibiting a temporary diversion in behavior and will eventually continue on its existing trend.
The symmetrical triangle charts displayed below are both exhibiting a continuation pattern. Notice how the chart extends above (below) its existing pattern.

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Continuation patterns tend to be the most accurate when the trend has existed for around one to three months.
The most common types of continuation patterns are triangles, flags and wedges.
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Continuation Patterns - Part 1 - Here we pay some attention to the triangle, usually one of the first chart patterns that a novice technician learns.
Continuation Patterns - Part 2 - Take a closer look at triangles, which appear in ascending, descending and symmetrical forms
Continuation Patterns - Part 3 - Take a closer look at Ascending and Descending Triangles.
Continuation Patterns - Part 4 - Take a closer look at flags and pennants, which show a very short pause in the trading activity of the prevailing trend.
Triangles: A Short Study in Continuation Patterns - Learn how to read these formations of horizontal trading patterns. |
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Related Terms
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