A stock that experiences a significant drop marked by a large red candle and fails to bounce back above its 50% retracement level is predicted to encounter resistance, drop to its previous low, and then decline further.
"if a stock drops and it's a big red boom boom candle when it bounces up it's going to try to go back to the 50% Mark if it can't get above the 50% Mark that becomes resistance and it is going to drop to equal low and then go down even further"
