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General TradingC
Continuation Diamond
A Continuation Diamond is a chart pattern that forms during a trend and signals a brief consolidation before the price continues in the direction of the prevailing trend. It appears as a diamond shape on the chart, created by expanding and then contracting price action.
Example
“A continuation diamond formed mid-trend on the daily chart, and after the pattern completed, price broke out in the direction of the prior uptrend and rallied another 8%.”