By: Scott Redler
The potent down day following Goldman Sachs’ (GS) earnings report was a serious day to take note of. It was an opportunity to either sell GS longs, or to even get short, especially when you combine the earnings reaction with the President’s statement on the banks.
The stock broke its neckline and 200-day moving average at around $160-162 and is now approaching $150-152. It could find some short-term support here, but the pattern measures a distance to about $135-140 as a downside target.
Take a look at this before and after breakdown:
