Potential bull on a micro scale:
RSI(14) signal has ranged from <=30 to <50 for extended period (1 month for example) indicating strong buy signal.
Bull Flag presents pushing the RSI(14) >50 and holding above 50 after run.
A triangle pattern begins to form with the horizontal line being the resistance “ceiling”, and the trend line becoming the support “floor”.
Higher lows are created throughout this period presenting an upward trend. The RSI(14) stays equal to or just above the 50 signalling a “stale mate” between buyers and sellers.
As the tip of the triangle draws nearer, the RSI(14) dips just below the 50, presenting a possible breakout to the upside as one of the sides (buyers/sellers) has relinquished their position somewhat. Fake breakout may occur above resistance “ceiling” when RSI(14) retraces above 50, it indicates a potential bull run on a micro scale is about to occur.