The fan principle is based on the use of multiple trend lines to judge a major reversal in the market. Since the fan principle is comprised of three trend lines, you might look for buying at the break of the third trend line. By that time, the fan pattern must have confirmed the breakout. Many chartists believe that in order to confirm a trend reversal, the trendline must be broken three times.
A Bear Flag is a price action within the context of a downtrend that produces an orderly price increase consisting of a narrow trend range comprised of higher swing/pivot highs and higher swing/pivot lows.
Another key trading pattern to identify trend continuation - Ascending Triangle trading pattern. Every trader must have a sound knowledge of this trading pattern.
In this video, you will get a good insight into what is Supertrend and how to interpret this technical indicator. By the end of this video, we have taken a real example of live market trading Reliance Industries. We have applied the Supertrend on a 5-min chart and attempted to make things easier.
In this video, you will learn and understand about Symmetric triangle trading pattern. This video explores the depth of using this pattern for trading like when to put the buy order and where to set the stop loss.
Bullish Pennants are similar to Bullish Flag pattern. But, the one who spots out the actual difference, plays apart from the crowd.