GTLS keeps holding $40

GTLS declined rapidly last summer and fall all the way down to it’s January low. 

The stock has since rallied more than 50 percent. Over the lat 6 months the $40 price level (blue) has become somewhat important to the stock. Not only was $40 a key support in October, as well as resistance in March and April, but that level has also been a recent support for the GTLS here as of late.

The Tale of the Tape: 

GTLS has a key level at $40. A trader could enter a long position on a pullback down to $40 with a stop placed under the level. However, if the stock were to break back below $40, a short trade could be made instead.

Before making any trading decision, decide which side of the trade you believe gives you the highest probability of success. Do you prefer the short side of the market, long side, or do you want to be in the market at all? If you haven’t thought about it, review the overall indices themselves. For example, take a look at the S&P 500. Is it trending higher or lower? Has it recently broken through a key resistance or support level? Making these decisions ahead of time will help you decide which side of the trade you believe gives you the best opportunities.

No matter what your strategy or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade. Capital preservation is always key!

Good luck!

The Biotech Trader

@TraderBiotech