Nearest Resistance: $6
Nearest Support: N/ACatalyst: Earnings, Restructuring Plan Small-cap pharmaceutical firm Dendreon (DNDN) is seeing heavy trading activity this afternoon after announcing earnings and a restructuring plan that will cut 600 jobs from its headcount -- more than a third of its employees. The move is being proffered as a means of cutting costs after second quarter earnings missed estimates. >>5 Biotech Stocks Poised for Breakouts So far, the only cost that's been cut has been DNDN's share price. Shares have slid more than 35% so far this year, counting the 20% that the stock has shed since yesterday's closing bell. That pushed DNDN to a new 52-week low, a phenomenon that has opposite effects from Pfizer's new highs. Resistance is especially strong at $6. I'd recommend avoiding this stock right now. Dendreon was also featured recently in " 4 Biotech Stocks Under $10 With Relative Strength."
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