Technical Summary: The stock of WTC is like a high speed train that has come of the tracks. Prior to the wreck the stock was one of the best performing on the ASX with uniform price action and a smooth transition to new all time highs. More recently the stock has been a train wreck and has been characterised by gaps in the stock price to the downside. The most recent gap continued into the trading session with the stock selling down on significant volume. The stock is now down over 35% from the highs. The concerning aspect for holders is that the stock was not able to hold the low it put in after the most recent gap down. The stock appears to have found buying support as highlighted on the chart.
How the stock reacts to this support over the next few days will be crucial. At the moment however the chart needs a lot more right side before we would look at the stock again as a buying opportunity.
