MT5 Pennant Pattern Indicator Download – Free | Forex Indicator Download – MetaTrader 5 Resources – MetaTrader 5 Resources

The Pennant Pattern indicator uses colored lines to provide a visual display on the chart to highlight the two continuation structures the Pennant and the Flag . This pattern usually occurs after a strong price move, often called a flagpole.

In technical analysis , the pennant is considered a reliable continuation that often confirms the pattern of prevailing market trends.

Pennant pattern indicator specification table

The table below describes the functionality of the Pennant Pattern indicator.

List of pennant pattern indicators

The Pennant Pattern represents a temporary price compression small triangle that often appears as a brief pause in a strong market trend.

This structure usually forms in a strong trend and typically continues increasing momentum in the same direction.

To enhance pattern recognition , the indicator uses blue lines to represent the "Flag" pattern and orange lines to depict the structure on the Pennant chart.

bullish trend scenario

On the Gold/USD 1 hour chart (XAU/USD) , the price is entering a consolidation phase after a period of strong bullish movement as the first stop. In this zone, the indicator identifies and highlights the Pennant Pattern . Upon a bullish breakout, the trend continues , with a second leg forming with increasing acceleration.

Bearish trend scenario

On the NZD/USD 15 minute chart , after an initial price drop in the formation of the first bearish leg , the market consolidates within a narrow range in which the Pennant pattern forms. A downward breakout continues the bearish move and provides suitable entry short positions .

Pennant Pattern Indicator Settings

The image below shows the settings section pennant mode indicator that allows the user to customize the behavior of the tool:

• Price channel length: number of candles used to draw the channel
• Trend Slope Span: Parameters used to calculate the slope of the pattern
• Shape detection coefficient A: calculation to form pennant pattern
• Shape detection coefficient B: Calculation of formation of flag-shaped pattern

Conclusion

The Pennant Pattern Indicator , based on developed price action concepts , can display both Pennant and Flag patterns. These structures typically appear after large price movements and signal the continuation of a trend.

This tool is suitable for all markets including Forex , Cryptocurrencies , Stocks and Commodities , and offers great flexibility across various trading strategies overall.