Grupo Financiero Galicia S.A. (NASDAQ: GGAL)

Grupo Financiero Galicia S.A. operates as a financial services holding company in Argentina. The company operates through Banking, Regional Credit Cards, CFA Personal Loans, and Insurance segments. It offers financial products and services, including collection and payment services, commercial credit cards, direct payroll deposits, capital market alternatives, foreign trade solutions, and corporate e-banking solutions; financial support and cash management services; foreign trade; corporate debt and securitization transactions; and e-collection and payment solutions to various agencies, municipalities, and universities.
Take a look at the 1-year chart of Grupo (Nasdaq: GGAL) below with my added notations:

Over the last 6 months GGAL has created a key level of support at $12 (red) and that $12 level was also the “neckline” support for the stock’s head and shoulders (H&S) reversal pattern. Above the neckline you will notice the H&S pattern itself (blue).
Remember, patterns such as an H&S need to confirm to have the meaning that they imply. Confirmation of the H&S occurred when GGAL broke below its $12 support.

The Tale of the Tape: GGAL has confirmed a head & shoulders pattern. A short trade could be entered anywhere near $12 with a stop placed above that level. A break back above $12 could negate the forecast for a move lower, thus a long position could be considered instead.
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