Matches textbook description of pennant:
- Strong uptrend before start of formation.
- high vol on flagpole
- So far, replacement vol has been low
- Continuing low vol on retracement.
- Retracement does not last longer that 3 weeks (some books say one month). Currently on day 6.
- High vol breakout.
- 1 for 5 bonus issue proposed approx Apr, need a multiple of 5 lots if buying.
[Update 13th Mar 10]
No pennant. It did not break out with a big strong white candle... rather we got a couple of pussy candles. A breakout finally occurred yesterday:
The uptrend is still intact. If I buy now, cut loss would be at $1.08, 7% below last closing price of $1.16.