Jul. 4 at 2:16 PM
$GVH A few things stand out on daily chart:
The long-term uptrend line is still technically intact. The spike broke above it, but after the selloff the stock is sitting right back on or just above that rising trendline you drew. It hasn't clearly broken below it yet.
$4.25 to
$4.50 is acting as a decision zone. Friday's candle closed at
$4.45, which is above the day's low of
$4.28. If sellers were completely in control, you'd often expect a close much closer to the low.
The pre-breakout base was around
$4.00 to
$4.50. You're right about that. Before the run to
$6-
$8, the stock spent time building value in this area. That makes it a more meaningful support zone than an arbitrary
$4.15 stop.
The bigger issue isn't really the chart anymore. It's the catalyst.
If Monday opens with:
No new EFFECT filing
No new financing news
No negative company announcement
then there's a reasonable argument that the market is simply testing its prior base around
$4.00 to
$4.50.
