Glaxosmithkline (NYSE:GSK) stock price is under tremendous selling pressure on a daily time frame. The price is sharply trading below the downward trend line. The stock has also pierced the Bollinger band and it is trading away from its 20 day moving average which means that the volatility for the price is high. The piercing of the Bollinger band does have significant importance when this takes place near the main support zone because this could move change the direction of the current trend or pause the trend for a while before it continues again.
The RSI has bounced back up from its oversold zone and it is also showing a clear sigh of divergence in relation to the price action which means that the bias could be towards the upside.
Support zone
1316-1338
Resistance zone
1537-1564
Disclosure & Disclaimer: The above is for informational purposes only and NOT to be construed as specific trading advice. responsibility for trade decisions is solely with the reader.