Anavex Life Sciences Corp (AVXL)

[123tom]

Price action this week.
That rally from the 8.10 bottom zone peaked at the 9.30 math target and now pulled back to a critical support zone (8.50-8.40) It really needs to hold strong here to avoid greater bearish bias in the pattern. The resistance peak area around 9.00-9.30 was a critical target area on the chart,so it wasnt surprising to see it finish there, but there was the pullback to watch and see if it would hold above 8.70. It failed that support today. and falls to the 62% retrace target now. Its all a math pattern run by computer trading. The larger rally zone to watch was 9.50-10.00-10.50 area,as a possibility but it has struggled this week, making a fair effort to get half way there, but falling down now. and the week might end around testing the critical 8.80-8.90 resistance for a bounce. and if we get that action tomorrow to end the week, the pattern will remain neutral in limbo around 8.80. with a bias looking down in my view. The greater rally target zone was 10 dollars in my view, and the resistance at 9.30 was a first resistance level, showing the bullish energy was not extremely strong.

The basic pattern in the large chart was the downwave from 13 to 7, and what we watch now since then,is the effort to recover,and the 50% Fib target is 10 dollar area. It reached 9.80 and now 9.30, and has failed to show strength this week ,especially today,making a decisive drop down in a stronger pullback. Its a battle,as always, between bullish and bearish energy. But the larger picture was the downwave from 13 to 7, and since then, the expected retrace climb to target 10 area, has demonstrated weakness from 9.30-9.80, and now its looking at retesting the 8.00-7.80 area if it doesnt hold here at 8.50. This is my view of the chart picture. Watching for the bounce now at 8.50 to hit resistance at 8.85 area , step by step ,it finds the 1 dollar and 2 dollar trade waves. The one happening now might be 9.30 to 8.30. or it could start one from 8.50 up to 9.50. and magic news rumors could make it 2 dollars to target 10.50 and a trade target .The price action clues just have to be watched by traders as it goes along.