Whats happening now.........
The technical price action appears as a battle between the support and resistance points on the chart, being targets that get hit.
When price bounces up to one resistance level, like 14 dollars and Fails there like it did the other day..... we get the selling efforts we see today.
The current wave structure,in this downwave, might be getting finished or ready to finish this downwave ,for now, around these pivot bottoms ....retesting the January pivot lows from 11.20/11.25/11.35/11.45/11.55 area....
should we expect to see 11.20 tested? why not.
why should price stop here at 11.55?
IF these pivot lows FAIL to hold as support, and the stops beneath them get run.... we would see one more plunge take GALT into the 10 dollar zone (9.80-10.80 area)
Understanding the fundamental story and developing news about GALT is important of course....but understanding the technical price action and technical chart picture showed a long time ago, well ahead of time that these price points in a downwave pullback are Targets to anticipate.
Its not too hard to say,the fundamental story is great....but the technical chart is pointing to targets around 11 dollars and even 10 dollars as bargains to buy, and to wait for .
Maybe buying a little along the way down from 13 to 10 is ok.
and now here we are, the technical charting ,like a road map, has been easily visible on the chart. GALT technical chart remains very predictable so far.
Right now, retesting the Januay pivot lows, why not test all of them, 11.20 is next, maybe....and IF they fail to hold.... another great GALT 1 dollar plunge from 11 to 10 is an easy guess to anticipate.
The other day , I thought GALT could just as easily hold support at 13, or 12..... but it did not hold.
NOW, 12/13/14 area are ALL resistance zones, and price could bounce off them and plunge down some more from those levels,and bounce around 11-14 for a while.....
I'm watching now, to see IF 11.20 gets hit,maybe not today, but in a day or so, and critical at that point, to see if these pivot lows plunge down with sellers 'running the stops'...and taking GALT down to 10-10.50 area.
Watching to see what happens here at 11.50 area and whether GALT holds support levels here, or not. and above now, 12/13/14 area, watching what these resistance levels will do as a wall to break through.
GALT is a great fundamental story....but now we are seeing what technical trading and technical price action looks like ..... not too pretty right now.
except to make decisions about what will become the best bargains to buy in these downwaves.
11.20/11.00/10.80 area/10.50/10.00 area/9.80/9.60 are targets below.
The 19.10 top , cut in half, becomes a target .... 9.55
That's about the ultimate Bottom zone for my technical charting. but bargains to buy have to be considered starting higher, from 13 on down. In the zone here at 11.50
but mind these January pivot lows , right now. IF they fail to hold.... there will become better bargains lower.
The Elliott wave technical tool is helpful at times like now, because it counts the wave structure from beginning to completion, and there is a pattern to anticipate, the current downwave is getting into a 'completion' wave structure, for now, which might suggest that here, within the January pivot low zone (11.20-11.70) we might see a pause and a rally bounce back to retest 13/14 area
So a technical buyer will consider buying some here at 11.50
