AVXL makes a good follow thru rally
today and reaches the 4.50 target zone.
In terms of examining a pattern, I use the Fibonacci and Elliott wave tools,and they show this 4.40-4.65 area as a Fib math target (38/25%) and the Elliott wave 3 of 5. The finished wave 5 target area would be around 5 dollars for this pattern. Today's rally, pulled back from 4.51 to 4.32 already and now bounces up to start creating a flag triangle, and to end the week here looks a little worrisome to me because AVXL has a way of getting hammered after a rally. This triangle could become a wiley coyote cliff to plunge down from next week. But maybe the good news cycle will keep generating some strength here and we'll see that finish rally follow thru to the 5 dollar area. The rally wave looks ok so far,so good. but still in this 4.40 area, needs another follow thru to retest 5 dollars. At that point the bottom to top wave, 3.65 to 5.00, will have some breathing room to start making the 4.25 area a support zone again.
In a great news cycle that could be happening now, and into the future, this current math pattern has higher targets at 7 and 8 dollars to come.
