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Chart Part 4: Continuation Patterns (Triangles, Flags, Wedges)

Triangles, flags and wedges: how trends pause, shake out weak hands, then resume.

By DigitalNepal · Updated 2026-10-04 · Verify current figures on official sources

A

Try it right here:

Chart school uses sample drawings - never real prices. Learn shapes here, practise on live charts without money, and read the risk guide before trading a single rupee.

Read any single day: who won, buyers or sellers.

86.491.897.2102.6O 100 H 101 L 96 C 971O 97 H 98 L 93 C 942O 94 H 95 L 88 C 93.53O 93.5 H 97 L 92 C 96.54O 96.5 H 100 L 96 C 99.55
Sample data for learning - not real prices. Hover any candle for O/H/L/C.

HammerBullish

After a fall, price drops hard inside the day but buyers push it back up near the open. Small body on top, long lower wick (2x body). Means sellers tried and failed.

Confirm first: Next candle closes above the hammer high, ideally with bigger volume.

After a sharp move, price often pauses in a tightening shape before continuing. These continuation patterns let you join trends at the resume point instead of chasing.

Open each one in the Chart School tool and notice the shrinking swings before the breakout candle.

Steps

  1. 1Ascending triangle

    Flat top + rising bottom. Buyers keep bidding higher into the same sellers - usually breaks up. Confirm with a close above the flat top.

  2. 2Descending triangle

    Flat bottom + falling top. Usually breaks down - close below the flat floor confirms.

  3. 3Bull flag

    Sharp rally (pole), then a small downward drift (flag). Break above the flag edge to confirm the resume.

  4. 4Falling wedge

    Two converging falling lines with fading selling. Breaks upward most of the time - wait for the close above the upper line.

Good to know: Never enter inside the squeeze - spreads and fake pokes eat amateurs. Enter on the confirmed break with a stop back inside the pattern.

Information last verified: 2026-10-04. Prices, fees, rules and requirements change - confirm on the official website or office before acting. DigitalNepal.tech is independent and not affiliated with any provider or government body.

FAQ

How long do patterns take?

On daily charts, weeks. If you need faster feedback for learning, study the same shapes on hourly charts without trading them.

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