AVXL made a big surge today....
but the 'game' might not be finished yet in this resistance zone .
or it might. the bleeding down of the pullback last week that hit all the technical target steps from 5.50 to 5.17,held at the 5.17/5.20 support step, and today began a bounce. very strong, in one day reaches the key resistance step at 5.80/5.90.
This one day surge,on a conference day in Japan,looks impressive but its still important to respect the resistance target zone as being 'still in play'. and because it is a resistance area, the tricky game ,might have a trick to play here, it could look like a pop and drop at the open tomorrow, a pop to 5.99 followed by a slam down to 5.59....that would be an example of the kind of trick possible in this resistance zone.
I don't know IF it will happen . I don't have high odds on it.just something to be aware of, that this area is still a resistance zone ,all the way to 6.30. Anywhere in this zone (5.50-6.30) could see a reversal and retrace to lower support steps. Because of today's strong surge, any quick retrace coming now might only retest 5.50-5.60 as a pullback to buy. something to keep in mind for those who are looking for dips to buy.
Still in technical play on the chart below the 5.50 retrace target is the 5.40 and 5.30 target steps, but now these are looking slightly far away now.
But remember the last big rally ,went surging like today ,from 4.15 to 6.64 and then promptly collapsed back down to 4.95. could this current rally do something similar? even if it only means plunging from 6.00 back to 5.30,its something worth watching for. those who are looking for the next dip to buy. it could come sooner or later. with a few days to go, for zig zags like this, and a few weeks to go to end of the month.
