In the past 4 weeks, we can see a price consolidation creating an Ascending Triangle ,we can see on the daily chart bellow higher lows, as the traders are paying more for the same shares.
The $2.50 horizontal line use as a support / resistance since 2009, and this days we can see a fight around this point too.
The indicators showing a strength as both the MACD & the RSI-14 with a Positive Divergence that gave me the confidence that the direction is upward, is might trade inside the triangle, but breaking up the upper line (white line) will give us a big move upward and we can calculate it as the side of the triangle that will give us a $0.80 at least...so the technical target is $3.60 at least....
Today. the price breakup the $2.50, but we need to see the price after the market closing, the next point is breaking up the upper line around $2.80.
Just looking at the chart we can see that the price reach the target and touch the upper trend line of the triangle...with a large volume...that's give us more confidence that the break up is very close...
We might see a profit taking @ this hights..as lots of technicians put a sell order just points under a resistance points...but, after a small correction we will have the uptrend even faster and will take the price to the next resistance point @ $3.20
I'm still long and waiting for the next step.
Disclosure: Long $BPAX
$BPAX have a close catalyst, BioSante will present at three healthcare conferences in September. The three presentations are as follows:
Wednesday, September 7, 2011 at 9:45 am EDT at the Stifel Nicolaus Healthcare Conference in Boston;
Monday, September 12, 2011 at 1:35 pm EDT at the Rodman & Renshaw Healthcare Conference in New York;
And on September 27, 2011 at 2:00 pm EDT at the JMP Securities Healthcare Conference in New York.
BioSante will provide a company overview at each conference, as well as an update on the LibiGel® (testosterone gel) Phase III clinical development program and planned NDA "new drug application" submission.