Downside Continuation Toward Fibonacci Targets
Therefore, downward pressure now dominates and suggests that a drop below Monday’s low of $2.98 could signal a continuation of weakness and a potential failure of support near the 50-day average. That would likely lead to the 61.8% Fibonacci retracement at $2.90, which is also a minor swing low. Alternatively, the lower 78.6% Fibonacci retracement zone near $2.79 could come into play if selling pressure accelerates. That level currently aligns with an uptrend line connecting to the January lows.
Resistance Levels Define Near-Term Recovery Path
Near-term resistance of note is Monday’s high of $3.10, since it is a lower daily high. A rise above it would begin to shift short-term momentum and could trigger a recovery of the recently broken trend indicators. After that, the interim swing high at $3.18 marks the next key resistance zone.
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