The low of yesterday’s soon came within 15 cents of the 14.91 ‘D’ target shown, but my hunch is that this stock will fall anew to fulfill the 13.89 target of the larger pattern that is also shown. Price action near their respective midpoints at 17.79 and 17.28 can tell us whether a washout low is indeed likely, but in the meantime, we should take encouragement if the stock thrusts above 18.40 today, since that would create a bullish impulse leg on the hourly chart. We must also take note of a much bigger picture that shows an impulsive A-B breakdown on the weekly chart. This was significant relative to the long-term bull market, but we may not know whether it was fatal until the A-B leg ends, and the rest of the pattern plays out to the ‘p’ midpoint of C-D, or perhaps lower; or higher.
