Why did BABA hold the level it did in the recent pullback?
It is the level where earnings were released on the way up - so there were natural buyers who wished to accumulate stock at that level who were waiting to an opportunity to buy at their price. They didn't want to chase after shares after the earnings report, rather, they lay in wait for a chance to buy them.
It is essential to know where a stock was just before, during and just after earnings were released to give you the keys to the "hidden levels" of support and resistance in a stock chart. This technology is now available to you through TradingView.
And TV isn't just mere charting tools, it contains numerous, valuable lessons taught by contributors like yourself. Thanks, Tim West!
BrentWatson
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Tim, the story gets even better when clicking the "Load New Bars" & Baba. Two bars broken thru, and the last snapped back. Very interesting. Thx!
TradingMula
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Also happens to be the .618 fib retracement
timwest
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The cool thing about the key hidden levels is that the lines are drawn automatically. If you can have a script draw the fib line for you, then that would be great. Right?
TradingMula
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yes that would be great! how can we get the script? what's it called?