Bear Flag

A bearish continuation chart pattern consisting of a sharp downward price move (the flagpole) followed by a brief period of upward or sideways consolidation contained within parallel or slightly converging trendlines (the flag). The pattern signals that the preceding selling pressure is likely to resume, and a breakdown below the lower boundary of the flag confirms the continuation. Technical analysts often measure the expected move by projecting the length of the flagpole downward from the breakout point.