MNKD 200 Day Moving Average and it's ramifications
May 25, 2022 12:57:55 GMT -5
liane, sportsrancho, and 19 more like this
Post by mounts on May 25, 2022 12:57:55 GMT -5
Many are disappointed that MNKD got such a small and short-lived spike following the FDA approval. Some are wondering about the unfathomable:
How is it possible that PPS is now lower than what it was in October following the CRL? Adding to the confusion is that UTHR did get a meaningful and sustained bump in the PPS. What's going on?
To get answers I reached out to a proven technical analysis expert to understand whats happening.
The insight he shared with me:
In October the PPS was above the MNKD 200 Day Moving Average in the days and weeks preceding the CRL. It took a brief dip below the 200 Day MA immediately following the CRL but recovered quickly. However, the PPS leading up to the FDA approval was below the MNKD 200 Day Moving Average. It requires lots of fire power to break through a 200 Day MA. The PPS did briefly breach the 200 Day MA on the day of the FDA approval. Since then, however, the PPS is seeing resistance breaking through the 200 Day MA, which is clearly and consistently visible on the hourly and four hour charts how the candlesticks almost perfectly align below the 200 Day MA.
The bulls need to get the PPS to flip the 200 Day MA into support instead of resistance, to allow it to benefit from the FDA approval.
The good news is that all indicators are signaling upward momentum for MNKD. Hopefully this momentum will continue and will achieve breaching the 200 Day MA in a sustained way. Until then, there is sufficient money in the market driven by technical analysis which will bet against anything trading below the 200 Day MA.
Once the 200 Day MA flips to support, MNKD will still need to breach $6.87 in a sustained way to wrestle free from the downward selling pressure threatening falling below the 200 Day MA again. Following that, when PPS will hold over $11.17, PPS will take off and soar.
How is it possible that PPS is now lower than what it was in October following the CRL? Adding to the confusion is that UTHR did get a meaningful and sustained bump in the PPS. What's going on?
To get answers I reached out to a proven technical analysis expert to understand whats happening.
The insight he shared with me:
In October the PPS was above the MNKD 200 Day Moving Average in the days and weeks preceding the CRL. It took a brief dip below the 200 Day MA immediately following the CRL but recovered quickly. However, the PPS leading up to the FDA approval was below the MNKD 200 Day Moving Average. It requires lots of fire power to break through a 200 Day MA. The PPS did briefly breach the 200 Day MA on the day of the FDA approval. Since then, however, the PPS is seeing resistance breaking through the 200 Day MA, which is clearly and consistently visible on the hourly and four hour charts how the candlesticks almost perfectly align below the 200 Day MA.
The bulls need to get the PPS to flip the 200 Day MA into support instead of resistance, to allow it to benefit from the FDA approval.
The good news is that all indicators are signaling upward momentum for MNKD. Hopefully this momentum will continue and will achieve breaching the 200 Day MA in a sustained way. Until then, there is sufficient money in the market driven by technical analysis which will bet against anything trading below the 200 Day MA.
Once the 200 Day MA flips to support, MNKD will still need to breach $6.87 in a sustained way to wrestle free from the downward selling pressure threatening falling below the 200 Day MA again. Following that, when PPS will hold over $11.17, PPS will take off and soar.
