"Flags" are one of the most common chart patterns. Also known as "consolidation" after the stock has moved up, Trading flag breakouts often provide favorable risk-reward ratios.  By defining specific entry and exit points, you can assess the potential profit relative to the risk taken. This risk-reward advantage enhances your overall profitability when trading flag breakouts, or flag break below. ⚐ Flag breakouts offer a well-defined pattern on the price chart. The consolidation phase forms a distinct flag shape, providing a visual cue  to anticipate a potential breakout. This clarity helps you to feel confident enough when to take the trade.  ⚐ Flag breakouts offer high probability setups: They occur within the context of an existing trend . The consolidation phase represents a temporary pause. Once the breakout occurs, it signifies a resumption of the original trend, leading to strong price movements.  By aligning  trades with the prevailing t...