BioTime

One health care player that insides are loading up in here is BioTime (BTX), a biotechnology company, which focuses on regenerative medicine and blood plasma volume expanders. Insiders are buying this stock into modest strength, since shares are up 13% in 2013.

BioTime has a market cap of $198 million and an enterprise value of $189 million. This stock trades at a premium valuation, with a price-to-sales of 51.42 and a price-to-book of 14.94. This is a cash-rich company, since the total cash position on its balance sheet is $6.72 million and its total debt is zero.

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A director just bought 300,042 shares, or about $1.05 million worth of stock, at $3.49 per share.

From a technical perspective, BTX is currently trending below both its 50-day and 200-day moving averages, which is bearish. This stock has been downtrending for the last month, with shares moving lower from its high of $4.18 to its recent low of $3.25 a share. During that move, shares of BTX have been consistently making lower highs and lower lows, which is bearish. That said, shares of BTX have now started to rebound higher off that $3.25 low, and the stock is quickly moving within range of triggering a near-term breakout trade.

If you're bullish on BTX, then I would look for long-biased trades as long as this stock is trending above its recent low of $3.25 and then once breaks out above some near-term overhead resistance levels at $3.60 a share to its 50-day at $3.74 and its 200-day at $3.88 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 175,009 shares. If that breakout hits soon, then BTX will set up to re-test or possibly take out its next major overhead resistance levels at $4.10 to $4.18 a share.

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Commit To Purchase BioTime At $2.50, Earn 14.5% Annualized Using Options