A reader asks about ADVENTRX Pharmaceuticals, Inc. (AMEX:ANX) and whether we think it will go higher after another solid day of gains during Tuesday's session:
Sent: Tuesday, December 29, 2009
I saw your post on Adventrx. It "stalled"at 41cents or so.....do you see it going higher?
As predicted, ANX did reach the predicted $.50 mark during Tuesday's session before pulling back. It will definitely go higher if the company follows through with their planned NDA filing(s).
Investors in the company have been waiting for this key filing for some time and the stock will likely trade higher if they deliver on their promise to file with the FDA.
Looking at yesterday's candle charts, the stock climbed "in agony" from about the $.43 to $.50 mark yesterday before pulling back and closing at the $.43 mark.
Today, most of those investors will likely hold their positions and watch to see how the stock trades. There is so much volume on the stock and so many eyeballs waiting for news, that day traders will likely see it as a good day to trade in an out of the stock on high volatility.
Once again, like clock work, this stock seems to climb aggressively for 3 or 4 sessions before a pullback, then it gathers momentum and goes right back up, so keep an eye on it and watch for that pending news which is due "before the end of 2009."
Disclosure: Long ANX