Thursday, April 08, 2010 9:04:36 PM
Genta Longs From Pre-AGENDA: Should you average down???
(Charts posted below)
I know a lot of people still hold positions in Genta that are above $0.30 and even some above $0.80 and $1.00. Easily at these current prices of $0.05 - $0.15, you could average down. However, the optimum time to average down was last week, and now any entry into Genta is risky. Though everything looks bullish, the current volume is extreme dilution and, inevitably, the price per share will fall again after this run is finished. But is it finished?
Who knows? But it looks based on these charts that it can get back to $0.30 area, which means you would have to buy shares soon. I personally have sold this stock months ago to move to different stocks, and is now way too risky for me to buy in. I can't tell you whether or not to buy in, but I will show you based on the charts why it could quite possibly go to $0.30 very soon.
6 Month Chart - Looking at the chart, you should read the notes that I have put. What is being shown is simply a large gap to fill from the closing price of $0.1503 all the way to $0.66 from late October 2009. That would be a little too optimistic, in my opinion. I feel that the highest this run can go with any real assurance is $0.30 because of the 200 day moving average at $0.31. It can certainly go higher, but $0.30 is all that I can predict. And, even then, the dilution that is occurring is extreme and will soon catch up with the price once and SEC filling posts updated numbers. I have labeled on the chart key resistance points and other events. Currently, $0.15 is actually acting as support since Genta closed above it at $0.1503.
5 Day Chart - You should read the notes here as well. This chart shows, with each candle representing a 5 minute period, the past 5 days for Genta. Obviously the time to buy in was 3 days ago, but if this is going to $0.30, and your average share price is $0.80, then averaging down at $0.15 would help you potentially gain 100% profit to $0.30, thus helping you to try and break even on your orginal investment.
Genta is unpredictable now that Tesetaxel has Fast Track from FDA. Genasense had Fast Track from the FDA, and it did nothing for the drug. But now, there are a whole new group of retail buyers, like us, that have bought into the stock in the past few days for the first time. Some of these people will call anyone with negative opinions "bashers" and are already sold on Tesetaxel being the next big thing, and they will be holding "no matter what" for prices above $0.50 - $1.00, which plays into stock price and movement greatly. Some don't even know anything more than the fact that one of Genta's drugs got Fast Track from FDA. They are investing purely based on charts and won't sell until $0.20 - $0.30, or until their technical resistance points break and the stock starts to dump. I have no buy or sell recommendation, these are just my opinions on the technical and fundamental aspects of Genta. Fundamentally, they have Fast Track status which is what it is...and technically, they look to be headed to $0.30. In my opinion. But my opinion is also strongly that the technicals and fundamentals could both fail at any moment because of the most important fundamental reason: the stock is currently going through extreme dilution.
I currently own no shares of Genta. Good luck to all.
(Charts posted below)
I know a lot of people still hold positions in Genta that are above $0.30 and even some above $0.80 and $1.00. Easily at these current prices of $0.05 - $0.15, you could average down. However, the optimum time to average down was last week, and now any entry into Genta is risky. Though everything looks bullish, the current volume is extreme dilution and, inevitably, the price per share will fall again after this run is finished. But is it finished?
Who knows? But it looks based on these charts that it can get back to $0.30 area, which means you would have to buy shares soon. I personally have sold this stock months ago to move to different stocks, and is now way too risky for me to buy in. I can't tell you whether or not to buy in, but I will show you based on the charts why it could quite possibly go to $0.30 very soon.
6 Month Chart - Looking at the chart, you should read the notes that I have put. What is being shown is simply a large gap to fill from the closing price of $0.1503 all the way to $0.66 from late October 2009. That would be a little too optimistic, in my opinion. I feel that the highest this run can go with any real assurance is $0.30 because of the 200 day moving average at $0.31. It can certainly go higher, but $0.30 is all that I can predict. And, even then, the dilution that is occurring is extreme and will soon catch up with the price once and SEC filling posts updated numbers. I have labeled on the chart key resistance points and other events. Currently, $0.15 is actually acting as support since Genta closed above it at $0.1503.
5 Day Chart - You should read the notes here as well. This chart shows, with each candle representing a 5 minute period, the past 5 days for Genta. Obviously the time to buy in was 3 days ago, but if this is going to $0.30, and your average share price is $0.80, then averaging down at $0.15 would help you potentially gain 100% profit to $0.30, thus helping you to try and break even on your orginal investment.
Genta is unpredictable now that Tesetaxel has Fast Track from FDA. Genasense had Fast Track from the FDA, and it did nothing for the drug. But now, there are a whole new group of retail buyers, like us, that have bought into the stock in the past few days for the first time. Some of these people will call anyone with negative opinions "bashers" and are already sold on Tesetaxel being the next big thing, and they will be holding "no matter what" for prices above $0.50 - $1.00, which plays into stock price and movement greatly. Some don't even know anything more than the fact that one of Genta's drugs got Fast Track from FDA. They are investing purely based on charts and won't sell until $0.20 - $0.30, or until their technical resistance points break and the stock starts to dump. I have no buy or sell recommendation, these are just my opinions on the technical and fundamental aspects of Genta. Fundamentally, they have Fast Track status which is what it is...and technically, they look to be headed to $0.30. In my opinion. But my opinion is also strongly that the technicals and fundamentals could both fail at any moment because of the most important fundamental reason: the stock is currently going through extreme dilution.
I currently own no shares of Genta. Good luck to all.
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