My take on the chart. There's a large seller that's been waiting...

My take on the chart.

There's a large seller that's been waiting to see if the price can properly breakout past the 50EMA. When it doesn't, they decide they'll sell before it hits back into the lower end of the range and they dump with higher volume for a few days. They appear to take a breather when it falls into the support zone. That's why we're getting a very clear and dramatic saw-tooth pattern.

This latest round of selling may have another day left or they may be done now as it's reached what was a nice rounding bottom AND the LT support. If they're done, the price will recover back to the 50EMA (mid-60s right now).

The real problem here IMO is that because of the selling pattern, large buyers have no incentive to step up and support the price as the deep-pocketed seller continues to blast. So we have a determined seller and reluctant buyers. Not a great mix. But... that will flip fast when the seller gives an indication that they're done. It's bananas cheap at the moment.

In any case, the business is strong so the LT outlook is great. Buying now takes balls and a willingness to be 'wrong' in the very ST because the selling could cease any day and ALK starts putting in >10% days.