Our top charts to watch today all feature biotech stocks moving on strong technicals and news.
Abeona Therapeutics Inc.
rocketed $1.75, or 18%, to close at $11.25 on heavy volume of 2.7 million shares traded Tuesday. The move came on news that the FDA granted breakthrough therapy status to the company’s skin-healing therapy. The stock had been pulling back in a flag pattern after its July high at $10.26, and recently broke out of the flag, with Tuesday’s move thrusting the stock through that July high. In the short term, price may reach $14-$15, and may well climb to $17.50 in the longer term. Short interest of 10.8 times its average volume could fuel the move as shorts cover on a rally.
Corcept Therapeutics Inc.
rose 41 cents and closed at $15.10 on 1.7 million shares traded Tuesday. The move built on Monday’s breakout of a mini-consolidation that followed the biopharma stock’s steep run-up after a strong earnings announcement on Aug. 1. If price breaks above the recent high of $15.58, it could extend up to $17 and $19 later on.
popped 17% to close at $7.58 on a whopping 12 million shares traded — more than four times its average volume and the largest volume the stock has seen since January. The move came on news that the cancer-drug company will collaborate with Jazz Pharmaceuticals on the development of blood cancer therapies. If price can move through the prior high of $8.04 from July 6, the next targets will be $9.50 and $12.50.
Sangamo Therapeutics Inc.
rose 11%, or $1.30, and closed at $12.80 on heavy volume of 3.3 million shares traded. Price broke above the prior high of $12.05 from Aug. 14. The gene-therapy company recently began a clinical trial with Pfizer
for a hemophilia treatment. Price is up 250% this year. The near-term target is $13 and the possibility for acceleration up to $17 in the coming weeks.
See Harry’s video-chart analysis on these stocks.
The writer has no holdings in any securities mentioned.
Harry Boxer is founder of TheTechTrader.com, a live trading room featuring his stock picks, technical market analysis and live chart presentations.