11.00-10.80 resistance is winning today
so far.... and making new lows, 10.29 now.
price action in play, within this bottom zone....10.80-9.60
many target points within this zone.
10.30 area is one of them.
If I had to make a technical guess now, looking at the 5 minute intraday chart and th wave structures, plus on longer time frames, you can see this bottom zone here around 10.40 area is trying to establish a bottom zone.
This is a target zone that was easy to forsee on the chart.
so its reached this target zone now.
and the current price details show the 10.75 area as a key balance point. for breakout above that ,or breakdown below that point. Price is starting to coil here between 10.30 and 10.80, with 10.50 as a balance point.
On the larger time frame, bigger resistance is around 11.75 and the lowest target down I see is 9.75 area
so I might guess, sometime soon, we will see the next 1 dollar blast go either up to 11.75 area or Down to 9.75-9.60 area.
not much else to watch for right now.
This 10 dollar zone here shows Elliott wave structures from the 19.11 top that show the 5 wave patterns, and suggest the down wave can be completing here in this zone.
But it then suggests the rally from here might only return to the 15 dollar area before it hits some hard resistance.
May biotech stocks will have this same pattern. a battle between developing as a bullish trend pattern or bearish pattern.
Last 2 years was a bull trend. but a bearish pattern might be developing. This big sell off in biotech has been the first move down, from the top.
The second move will be the rally to come.
The third move would become the big battle for the trend.
For GALT, it might mean a rally soon back to test the 15/16 area, and a battle there between 13 and 16, that might take longer than one would expect.
and many biotech stocks might slide along 2014 in this kind of range, as the geopolitical chaos and conflicts keep the stock markets nervous and fearful of collapse . investors will be nervous watching their investments.
These days, in this larger outlook, I am thinking it might be a good idea to start taking some profits and lightening up the investments, after the next big rally, back into the higher middle zone, (GALT around 16)or a retest of the top zones if it ever gets there this year.
I do think its time now to be careful and watching the geopolitical issues that threaten the markets.
