Although a Bull Flag can see the price drop approx. 26% to $140 it allows the opportunity to trade the swings within the pattern buying and selling at Resistance and Support which could be very lucrative. Typical to see Lower Highs and higher lows as the pattern works to completion. When the price does break out from this pattern it can be a Very Strong move taking the stock back up to recent Highs around $216.
Kommentera:
I should have mention that the current resistance is at $196 and Support is at $188. If you load the new candle from today you see the long lower wick to $185.43 but the stock marched right back up and closed just above $188.
Kommentera:
Looking at the intraday chart today we're hitting right at the top resistance of the Bull Flag at $196.70 but remain within the Descending Triangle. There are only 6 days left within the DT for a confirmation move down that I fear is the likely move but very good if you plan to Short.