One name in the biotechnology and drugs complex that's flirting with a major breakout trade is Synthetic Biologics (SYN), which is focused on the development of synthetic deoxyribonucleic acid (DNA)-based therapeutics and disease-modifying medicines for serious illnesses. This stock is off to a slow start in 2012, with shares off by around 10% so far.
If you look at the chart for Synthetic Biologics, you'll see that this stock formed a perfect triple bottom chart pattern just a few weeks ago at around $1.71 to $1.77 a share. Following that bottom, shares of SYN blasted off its 50-day moving average to its current price of around $2.30 a share. During that sharp spike higher, the upside volume for SYN has been tracking in very strong. A number of recent up days have registered volume between 125,000 to 264,000 shares, which is well above its three-month average action of 70,048 shares.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
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
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV