%20IDPH.png)
IDPH was rolling along when it formed this bearish flag pattern. Notice how volume ramped up into the pattern and then fell off within the pattern. It then picked up again with support was taken out. This is the type of volume action you want to see to confirm the price moves.
%20KLIC2.png)
KLIC is an example of a stock that formed a bearish flag pattern after having broken a longer term support line. You can see how volume dried up within the pattern and then got huge during and after the breakdown.
%20PCSA.png)
PCSA is another example of a stock that formed a bearish flag immediately after breaking down from a larger pattern. Volume was strong on the break down and then surge in the following couple days.
%20HGSI.png)
HGSI is very similar to the IDPH pattern above. The stock was gently rolling along in a downtrend when if formed a bearish flag pattern. Notice how volume was strong into the pattern and then fell off within the pattern. That's what you want to look for when considering playing a bearish flag formation.
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