Second... Of course it is near upper resistance line. Will it gap up on earnings or retrace back below 18
Third...Whenever the candles formed a gap, the top or bottom of the gap that holds as either support or resistance is dependent on the direction of the move. For example, if it gapped higher, the top of the gap formed support. If it gapped lower, the bottom of the gap formed resistance. Also, these zones would be replaced by newer gaps and new support/resist lines.
Fourth... The strong support line IS a strong support.
And finally fifth.. Earnings for GG were announced recently and were not favorable. GG and ABX tend to follow each other.
The play...Use 19.25 and 20.38 as the trading range. As soon as it gets out of this range open a position and go with the flow. I feel more bearish on this one and if you are a gambler open a PARTIAL position now and hope earnings followed GG's road. You know your own situation so do what you feel is best.
HAPPY TRADING!
Comments
octradr
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WOW!!! It opened near the strong support line. Only the gambler made out on this one. Take profits now. 11/1
octradr
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E Trade showed earnings 10/30 but other sources show it for 10/31. It obviously wasn't b4 open on 10/30.