One stock in the biotechnology and drugs complex that's starting to flirt with a major breakout trade is Horizon Pharma (HZNP - Get Report), which develops and commercializes medicines to target unmet therapeutic needs in arthritis, pain and inflammatory diseases. This stock hasn't done much in 2012, with shares virtually flat on the year.
If you look at the chart for Horizon Pharma, you'll notice that this stock was stock in a nasty downtrend from its November high of $8.98 to a recent low of $3.05 a share. During that downtrend, shares of HZNP consistently made lower highs and lower lows, which is bearish price action. That said, the stock has now started to trend sideways for the past month, and it's been making higher lows and higher highs, which could be indicating the start of a bullish trend change.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts