When I was looking at GPRO’s price chart, I thought: where have I seen this before? I went through my charts and realized it was TWTR. Below are the price charts of each and I would like you to first pay special attention of the run up to the top: 5 waves each. Identical price pattern. Also note the almost identical price dip/consolidation prior to the run up, and then the overlapping decline ever since that top. Please take special note of how yellow (major) a and b for both charts are almost identical; 62% retraces for the b-wave, as well as the decline since. TWTR had a gap down opening due to earnings in February last year, whereas GPRO had a simple steady-eddy decline. However, the price pattern is very similar. Using Fib-extensions it follows that TWTR bottomed exactly at the 123.6% retrace level of the entire run up. Can we expect something similar for GPRO?
Namely, the 161.8% extension of major a, from b, is at $32ish, whereas the (blue) 100% retrace is at $36 and the (blue) 114% retrace overlaps with the 176.4% extension @ $27ish. Please note that the weekly S2 is at $27ish, whereas the daily S2 level is @ $32ish. Not shown here, as I -at this point- don’t want to go that far, but IF GPRO follows TWTR to the T, then the blue 123.6% retrace is at $21ish, while the 200% yellow extension is at $19. Please note that TWTR bottomed at $30 and is now trading at $50. A 66% increase. A similar bottom level for GPRO, which is based on the aforementioned retraces and extensions a likely target zone, would also mean the same for GPRO in the coming months.
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