Measuring the A to B leg with fibonacci , C slams right into the .382 fibonacci retracement. If the .382 can hold it's resistance and throne, we may see possibility of a bullish butterfly completing at price $12.65, 1.27 extension level.
Although A to B extension 1.27 and C to B extension 1.628 does shows confluence, price may reject these levels as support and...
Banks also continue to look very weak as Bank of America (BAC) broke lower out of a lower level consolidation. The stock gapped down on it's earnings. Now we have point of reference at $14.71, if it will go through previous low of the day I will be considering Short option. Resistance at $14.86 then $15.00, if price will pullback to that area I expect to see some...
Bounces have been happening within 3-4 weeks after touching the (roughly drawn) trend line. If a bounce occurs, re-examine before moving target/stop loss or selling.
Price: 16.10-16.20
Stop Loss: 15.30-15.40 (-5%)
Target 1: 17.40-17.50 (8.5%)
Target 2: 18.00 (11.5%)
