GILD (Gilead Sciences Inc) offers an objective long entry here on the backtest of this 2½ year downtrend line as well as the 72ish support level. GILD will be added as an Active Long Swing Trade with a sole price target of 76.32. The suggested stop is any move below 72.00 & the suggested beta-adjustment for this trade is 0.90.
Gilead was posted as a potential bottoming play in this post back on January 9th, (first weekly chart below) with the stock the rallying over 30% from there. On August 31st, in this post, (second chart) I had warned that GILD had now hit & slightly exceeded my 81.76 target on a momentum-fueled overshoot & was then poised for a correction. Note how that 81.76 level acted as support following the overshoot, with GILD eventually falling back below that key level which was the catalyst for the correction that brought the stock all the way back to these intersecting support levels. Also note the deeply oversold readings on the RSI, another indication that the stock is likely to bounce very soon. One can also see the currently backtest of the yellow downtrend line from the previous & updated weekly charts (bottom two charts below).