The “retest” part After price breaks below the pennant support,...

The “retest” part
After price breaks below the pennant support, it often:

• Pulls back up to retest the broken support
  
  
• That old support now acts as new resistance
  
  
• If sellers step back in there → continuation move lower
  

How traders usually read the retest

• ✅ Bearish confirmation: price retests, rejects (wick / bearish candle), then moves down
  
  
• ⚠️ Weak breakdown: price reclaims the pennant → pattern likely invalid
  
  
• Targets: often measured as the length of the flagpole projected down from the breakdown
  

Common entry/management ideas (not advice)

• Entry: rejection at retest resistance
  
  
• Stop: above pennant high or above retest high
  
  
• Invalidation: sustained close back inside the pennant
  

Extra confirmation that helps

• Lower volume during consolidation, volume expansion on breakdown
  
  
• Retest on declining volume
  
  
• Confluence (VWAP, 20/50 EMA, previous support)