Continuation patterns
Bull pennant
Usually bullish
A strong rally followed by a small symmetrical triangle of contracting swings.
What a bull pennant tells you
Effectively a flag whose boundaries converge. The tightening range is the market coiling before continuing.
Why it forms
Both sides briefly agree on value after a violent move; the imbalance resumes when the coil releases.
How traders enter it
Entry on the upside break of the pennant, objective the pole height from the break.
How it fails
Pennants are small by definition, so a stop below the structure is tight and easily clipped by a single wick.
That last section is the one worth rereading. A pattern is only useful because it comes with a level that proves you wrong — without one you have a shape and a hope.
People also ask
Is a bull pennant bullish or bearish?
A bull pennant is usually read as bullish, but only once it confirms. Before the confirming break it is a shape, and shapes fail. Context decides more than the label does.
How do you trade a bull pennant?
Entry on the upside break of the pennant, objective the pole height from the break.
When does a bull pennant fail?
Pennants are small by definition, so a stop below the structure is tight and easily clipped by a single wick.
Can ChartLens spot a bull pennant for me?
Yes. Photograph or screenshot any chart and ChartLens names the pattern if it is clearly formed, with a confidence level and whether it is forming, confirmed or failed — and says nothing if it is not there.
Last updated .