A Trader Journal

Conceptus (CPTS) had deeper correction from resistance band (shaded rectangle) as analyzed in prior post. Prior post is available here - (Mar 19) CPTS. The stock came few cents short of resistance band before selling off strongly. Besides the structure of chart, another reason is general market weakness.

The chart is quite symmetrical i.e., 3 big up swings (A, B, C) and 3rd leg had again 3 minor up legs (a1, b1, c1). Markings on the chart. Also last couple of times, when the stock sold off, both times it slid along lower channel for few bars (arrows on the chart). Generally these kind of things would be missed by indicators. Assuming it does again, that means stock would likely go further down to around $13. Beyond that, for now it is wait and see mode. Depending on how general market is, either the stock might go into sideways mode or have further correction.