Hold on to your seats folks! Should be quite a ride up near term, based on this technical analysis from TheStreet.com today:
Avanir Pharmaceuticals
Avanir Pharmaceuticals , together with its subsidiaries, is engaged in acquiring, developing and commercializing novel therapeutic products for the treatment of central nervous system disorders primarily in the U.S. This stock closed up 4.1% to $5.04 a share in Tuesday's trading session.
Tuesday's Range: $4.80-$5.09
52-Week Range: $2.62-$6.00
Tuesday's Volume: 3.72 million
Three-Month Average Volume: 3.09 million
From a technical perspective, AVNR spiked notably higher here right above some near-term support at $4.57 with above-average volume. This spike higher on Tuesday is quickly pushing shares of AVNR within range of triggering a major breakout trade. That trade will hit if AVNR manages to take out Tuesday's high of $5.09 to some more near-term overhead resistance at $5.22 with high volume.
Traders should now look for long-biased trades in AVNR as long as it's trending above Tuesday's low of $4.80 or above more near-term support at $4.57 and then once it sustains a move or close above those breakout levels with volume that hits near or above 3.09 million shares. If that breakout materializes soon, then AVNR will set up to re-test or possibly take out its 52-week high of $6.
