Flag pattern in $NSE:CAMS

30 Nov 2023

CAMS

The flag pattern is a powerful trend continuation pattern. It represents a brief consolidation after a strong price movement.

In this example of CAMS,

1. We can see a sharp uptrend in the charts. The stock rallied ~27% or by 611 in 11 bars (18 days).
   
2. This was followed by price consolidation in a downward-sloping channel. The price kept cris-crossing between the channel at least for few times before closing outside the channel.
   
3. Currently the price has broken out of the channel and is in the same direction as the initial trend of the chart.
   
4. Current BO does not have heavy volume even though it is preferred to have one.
   

Disc - invested, for educational purposes only.