Traders officially love to buy GXY.AX around 2.49 level

Overview

GXY.AX ended the week -6.04% lower at 2.49 after losing A$0.03 (-1.19%) today. Trading A$0.05 higher after the open, the stock was unable to hold its gains as the bears took control ending the day below its opening price. Ending with a weak close near the low of the day sets a bearish note for the next session.

Daily Candlestick Chart (GXY.AX as at Sep 14, 2018):

Friday's trading range was A$0.10 (3.94%), that's slightly below last trading month's daily average range of A$0.12. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly above average.

Unable to break through the key technical resistance level at 2.54, Galaxy Resources closed below it after spiking as high as 2.59 during the day. The failure to close above the resistance might increase that levels importance as resistance going forward. The share was bought again around 2.49 after having seen lows at 2.49, 2.49 and 2.49 in the last three trading sessions. Obviously there is something going on at that level.

The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.