Trade Pennant and Flag Formations

The speaker explains the flag and pennant chart patterns.  Both of these patterns are continuation patterns in the direction of the primary trend.  They are created with a sharp move, up or down, which is considered to be the pole.  Following the creation of the pole, a consolidation ensues which can be in the shape of flag or pennant.  A flag consolidation is a parallel channel with is either horizontal or sloping downwards while a pennant is a triangle type of formation.  Both are followed by an up move in the market, accompanied with heavier volume.