What Happens in Stock Trading after a Consolidation Stock Chart Pattern?

A consolidation stocks chart pattern is a bilateral stocks chart pattern that signals the stocks price is taking a break & the buyers and sellers in the stocks market are yet to decide on which side the stocks market will move - this shows that there is a tug of war between the two & neither side can gain control of the stock market.

This consolidation stocks pattern can continue for some time until eventually one side of the stocks market wins and a new stock trend forms in direction of the market to which the consolidation stock price break out moves to.

If the stocks price breaks out to the upwards side then the stock trend is considered to be a bullish upward trend.

If the stocks price breaks out to the downwards side then the stock trend is considered to be a bearish downward trend.

Traders can decide which side of the consolidation to trade once the stocks price breakout happens and not before the stock price break-out.