Gran Tierra Energy Inc. (NYSE: GTE)

Gran Tierra Energy Inc., an independent energy company, is engaged in the acquisition, exploration, development, and production of oil and gas properties in Colombia, Peru, and Brazil. The company’s acreage includes 3.4 million gross acres covering 17 exploration and production contracts in Colombia; 5.8 million gross acres covering 5 exploration licenses in Peru; and 47,734 gross acres covering 7 exploration blocks in Brazil. The company was incorporated in 2003 and is headquartered in Calgary, Canada.
Take a look at the 1-year chart of Gran (NYSE: GTE) with the added notations:

For pretty much the entire last year GTE had found a repeated area of support at the $6.80 (blue) area. The stock finally broke that support back in July and fell all the way down to around $6.25. Now that GTE has rallied back up to $6.80, and tested it as resistance, the stock should be moving overall lower from here.

The Tale of the Tape: GTE had a key level of support at $6.80. Now that the stock has broken support, a trader might want to enter a short trade at or near the $6.80, with a stop placed above the level of entry. A break back above $6.80 could negate the forecast for a move lower.
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