funny chart pattern

G'day
First time XJO poster, long time XJO lurker.

First up, thanks to everyone who shares their thoughts here. I know it gets said a lot but as a sharemarket newbie I really apreciate it, even if I have no idea what you're all talking about sometimes (the acronymns in this place can get seriously out of hand LOL). What a time to get my sharemarket education...

Secondly, I've been watching LGL for a while now with a small parcel of shares involved and there's been a funny pattern developing over the last 3 days. What we get is a huge gap up to just below support at $2.90 followed by a large retrace giving back a large slab of the gains. It has happened 3 days in a row now with a range of up to 20% and healthy volumes.

One poster on LGL said it was a classic example of distribution with large sellers ramping up the price to offload their holdings which is the best (but only) explanation I've heard, however the close price is gradually trending upwards as well. Is this a flag/pennant waiting to bust upwards or just a result of the waning selling now that the sellers have offloaded their stock?

It's a fascinating bit of market behaviour and I thought I'd ask the technical sorts on this forum wether it was normal or not. I would ask the LGL board but they seem to be more interested in newspaper reports than actual technical analysis.

Thanks from a newbie looking for understanding, not hot tips.