Every situation is different. My opinion for AVXL follows.
Since price is in a downtrend the likelihood of the gap closing is increasing.
If $4 level does not hold then odds really go up.
For me, I would assess how much powder I wish to accumulate shares with.
The next target steps go, 3.90, 3.80, 3.71 and 3.63. Watch the volume, rsi and adx to get an idea of previous oversold bounces. Scale in at desired levels. A bid sitting just above the gap would be able to get filled on a flash move like in mid/end July as trying to do it during the flash is often missed because there are too many bidders in line ahead and price accelerates up faster than you can enter bids.
Also watch the lower bband and yesterdays candle. closing price below candle body increases odds $4 breaks and closing below the tail increases odds more. Mid bb and 50day are current resistance.
Hope that is helpful.
Best wishes. I agree these are great prices down here.
