ROSG Breakout Above $4.00ROSG has found resistance at the $4.00 mark multiple times in recent days. With a combination of consolidation and the narrowing of support -- ROSG is poised to make a breakout to either the upside or downside. Based on a support from $3.88 to $3.92 and an upside potential of ~$4.20, there is a larger upside than downside. Additionally this company has 2 new bladder cancer assays being commercially introduced during the American Urological Association's (AUA) annual meeting running from May 15th to May 19th; suggesting that news will be released soon about how the products faired during the meeting.
Note that buying any stock carries with it uncertainty. Buy at your own risk.
ROSG
ROSG Looking for a CatalystWith the new pressure on Bio's upon us I wanted to take a look at a stock I have long liked and especially like at this level. With new patents and a bunch of new drugs in the pipeline it will happen quickly and suddenly. The chart shows great strength as it has held up when others have fallen and I look for a move over the next month to 4.66. All it needs is a catalyst, what that will be I don't know but a Bio like this one has so much potential upside that buying it here should be illegal.
Small Biotech Out Of Favor But Smart Buys Can Pay OffThe deep freeze has taken over small cap land. It has been a long time since small caps were out of vogue but the time has come. As the great rotation of capital shifts from high risk stocks to low risk, high dividend payers, many think the end has come for any investments in small caps. I am here to say that is not true. Over the past year, you could have closed your eyes and thrown a dart at a small cap and made a lot of money. Those times have changed, however there is still money to be made.
You must now start analyzing the charts and buy at the key levels. For example, on no news, Rosetta Genomics Ltd. (NASDAQ:ROSG) has fallen from over $6.50 to $3.45. This monster drop is now crossing the 200 moving average and heading to gap fill at $3.20. This $3.20 level will be where the stock price has been cut in half as well as major support. At this discount, the stock becomes extremely attractive to tuck away a small position.
Another biotech stock approaching a key level is OXiGENE Inc (NASDAQ:OXGN). Good news drove it to $5.40, however the risk adverse market has taken it down to $2.59. There is a key gap fill at $2.43 that offers a very intriguing risk to reward opportunity.
Always remember small cap stocks are very high risk. Most likely the way to trade these plays is to be in, get a solid bounce and take profits.
Gareth Soloway
Chief Market Strategist
www.InTheMoneyStocks.com
