PLTR break below support 29DEC2020

29DEC2020 saw a broader market sell-off, unsure if this was larger institutions securing end of year profits or market-wide correction from recent days exuberance.

Monday's market open saw an immediate meltdown and began this bearish channel and Tuesday saw us drip below our $25 support zone. The 9 day MA trading below the 20 day MA suggests to me that this bearish trend will continue in the short term. PLTR is currently bouncing off the lower band and against the upper boundary of my descending wedge, I think the next pop is going to be volatile. With RSI @ 36, we're not quite in the oversold territory. If at market open there's not a lot of buyers, I believe that we'll probably gap down to the $20-$22 range.

To counter my thesis, I'm just an idiot on the internet..... No no, but seriously, one thing to note is that post Xmas volume has been notably lower than our average daily volume; this bearish pattern could be quickly invalidated with some strong buy pressure.

Personally, I think the trend is pointing that we'll finish the year below $25. This doesn't really bother me much because in the near term we have 2 catalysts dates in January and hype leading up to their earnings call on the 11th of Feb.

By no means is this trading advice, I'm simply sharing my thoughts and opinions on the story I think the charts are telling us. I'm still a learning trader and welcome feedback and criticism, feel free to drop a comment.