Bear Flag

That breakdown candle closed below the flag then shot straight back up. Say a trader sees that break and shorts the move right away.

Their mistake was shorting into a move that never had any real selling. Traders call this trick a Bear Flag and it just faked everyone out.

It's meant to signal more downside after a short pause in the drop. There's the sharp pole and tight channel, then the trap candle that broke it.

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