HRTX a biotech penny stock with 70% in two months LONG
Updated
HRTX has been suggested by various trading websites as a potentially explosive penny biotech
stock for 2024. It has experienced excellent price actions since an earnings beat in November.
It beat the estimates; that is to say it burned about half as much cash as the analysts estimated
the it would. Today it pumped 11%. Relevant articles can be found compiled on the Yahoo
Finance page linked here.
The chart is 120 minutes. A alpha trend indicator is shown and the supertrend since the
November earnings is upward. An AI Lorentzian indicator is added with a 2000 candle lookback
to generate buy and sell signals. It calculated a 59% win on 83 trades over those 2000 candles
two hours each; this amounts to about 2000 x 2 / 6 hrs per session or more than 600 trading
days = 2 1/2 years.
Also supporting an entry at this time is the faster (45 min) RSI line rising over the 50 level
while the slower ( 240 minutes in red) RSI line has been over the 50 level since those earnings.
The ADX indicator had a DI- and DI + flip with a mini pullback to close out last week's trading
( profit taking).
The volatility indicator also showed that dip with selling volatility greater than buying which
has now flipped.
Given that price has went 5X in 2 months , there is a possibility HRTX is overbought.
Analysts seem to think otherwise.
I will take a stock position here and anticipate holding the position into the next earnings.
For trade management I will take partials of 5 % each at the high of day for ten days going
into earnings and hold the remaining 50% through the earnings. In the meanwhile I will review
the trade if the machine-learning alo indicator generates either a buy or sell signal.
For those lacking the risk tolerance for money-losing biotechnology penny stocks with high
potential but are aware that biotechnology is expected to be "outperforming" in 2024,
XBI and LABU are ETFs with risk-mitigation in the form of a diverse portfolio from the sector.
stock for 2024. It has experienced excellent price actions since an earnings beat in November.
It beat the estimates; that is to say it burned about half as much cash as the analysts estimated
the it would. Today it pumped 11%. Relevant articles can be found compiled on the Yahoo
Finance page linked here.
The chart is 120 minutes. A alpha trend indicator is shown and the supertrend since the
November earnings is upward. An AI Lorentzian indicator is added with a 2000 candle lookback
to generate buy and sell signals. It calculated a 59% win on 83 trades over those 2000 candles
two hours each; this amounts to about 2000 x 2 / 6 hrs per session or more than 600 trading
days = 2 1/2 years.
Also supporting an entry at this time is the faster (45 min) RSI line rising over the 50 level
while the slower ( 240 minutes in red) RSI line has been over the 50 level since those earnings.
The ADX indicator had a DI- and DI + flip with a mini pullback to close out last week's trading
( profit taking).
The volatility indicator also showed that dip with selling volatility greater than buying which
has now flipped.
Given that price has went 5X in 2 months , there is a possibility HRTX is overbought.
Analysts seem to think otherwise.
I will take a stock position here and anticipate holding the position into the next earnings.
For trade management I will take partials of 5 % each at the high of day for ten days going
into earnings and hold the remaining 50% through the earnings. In the meanwhile I will review
the trade if the machine-learning alo indicator generates either a buy or sell signal.
For those lacking the risk tolerance for money-losing biotechnology penny stocks with high
potential but are aware that biotechnology is expected to be "outperforming" in 2024,
XBI and LABU are ETFs with risk-mitigation in the form of a diverse portfolio from the sector.
Trade active
Nice pop today. Taking down 10% of the position. Earnings are coming excepting increased volatility. Likey Thursday a down day and Friday back up and moving.Will take more then,
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