Late October and early September treated biopharmaceutical giant Gilead Sciences Inc. ($GILD) and their investors nicely. In the span of two weeks the stock price flew up from $72 to $86. However, it is very rare that this kind of growth remains sustainable, as many investors might be quick to maximize their short-term profits before the share price corrects. Many companies also experience a very poor market correction – at that. However, Gilead Sciences share price has demonstrated a much expected and realistically warranted price recover. At the center of this recovery lies the teacup with handle base pattern charted below, which shows a gradual price adjustment and a last conservative deep price adjustment, before a return to a stable market trend.
For now, the technical analysis yield a promising future for this equity security, with a foreseeable upcoming positive growth.