5 Bullish Biotech Charts

Watch the price action to confirm or refute these chart patterns

     

Symmetrical Continuation Pattern

7 15 13 mnkd 300x260 5 Bullish Biotech Charts
Click to Enlarge
Mannkind Corp.
(MNKD), a company that discovers, develops and commercializes treatments for diabetes and cancer, has shown signs of a symmetrical continuation pattern over the past 19 days. If the pattern is confirmed, this trade should play out in about that amount of time.

The price has broken upward out of a consolidation period, suggesting a continuation of the prior uptrend. A symmetrical continuation triangle shows two converging trendlines as prices reach lower highs and higher lows. Volume diminishes as the price swings back and forth between an increasingly narrow range reflecting uncertainty in the market direction. Then well before the triangle reaches its apex, the price breaks out above the upper trendline with a noticeable increase in volume, confirming the pattern as a continuation of the prior uptrend.

Price Target: $8.90 – $9.40

Stop: $5.56

 

InvestorPlace advisor John Lansing tracks the charts all day and offers expert technical analysis in his day trading, options and trading services: Power Trading at the OpenParabolic Options and Trending123.  Trending123 members receive access to the Trending123 Pattern Scan powered by Recognia free as part of their membership.

1 2 3 4 5 6
 

Article printed from InvestorPlace Media, http://investorplace.com/247trader/5-bullish-biotech-charts/.

©2014 InvestorPlace Media, LLC

Comments are currently unavailable. Please check back soon.