I came across this article on the Wall Street Journal's website. http://online.wsj.com/article/SB10001424052702304211804577501441816539490.html I agree with the view that the flag is supposed to be a Continental Colors/Grand Union Flag. I don't think the "dots" are stars. It looks more like an attempt to depict the blue triangles in the union of the flag. I also don't know why he chose to add blue stripes.