GKP support and resistances

englishseoul wrote: Thanks Remo.

That's an interesting point I've wondered re. the court case. Do you still usually trade a stock when it is in a period of potentially high newsflow or pass over it?

Its to dangerous when there's a court case . It could go either way so even going by technical s it can back fire.
to dangerous.
remo

annes goal,

the best analogy is to think of the 61.8% fib retracement level in terms of climbing a mountain.

When one starts out the intention is to go right to the top, but at a certain point the climber slips and falls (without hurting himself).

Now, if the climber slides say half way down the part of the mountain he has already climbed (to 50% retracement level) there is a pretty good chance that he will get up and continue to climb the mountain once again, but there is a certain point where he will feel that it is not worth it and may as well go back to base camp and restart the ascent another day. The 61.8% fib signifies this point.

Food4Thought

Thanks Remo.

That's an interesting point I've wondered re. the court case. Do you still usually trade a stock when it is in a period of potentially high newsflow or pass over it?

Thanks for explaining the significance of the 61.8% point Remo - I've learnt something really helpful today!

dl.dropbox.com/u/4899609/gkp19thoct.jpg


GKP
Supports 195,,192.8,,188.5,,186(61.8fib),,169.15,,157(trendline),,139
Resistance 212(200ma),,217.5,,230(gap),,232.6,,242.75,,260.78

If GKP goes below 186 then chances are it will do a full correction of the fib back down to 139.
That level is really important from a technical perspective as when ever a fib is done the 61.8 is the last level of support before a full correction. Most time when it penertrates this level it heads back down to the start of the fib. So that area will be a good level to place longs but if it does finish below that level then you should have stops attached just incase.

With this court case any thing can happen so bear that in mind.


DYOR
remo