CASI Pharmaceuticals, Inc. (NASDAQ:CASI) gained 24.67% in yesterday’s session, going up from its prior closing price of $1.50 to $1.87, and has now recorded rally in 4 consecutive sessions. Many in the market will be closely watching whether this winning streak is sustainable or take a temporary pause for the next couple of trading sessions. The stock price went upward in 6 of the last 10 days and has generated 94.79% during the last two weeks. The upbeat movement of both volume and price during the recent session is interpreted as a good sign, and, overall 412 162 more shares exchanged hands compared with prior day. In total, 767 605 shares was the trading volume and the dollar amount of trading equals $1.44 million.
Inside CASI’s Recent Trend
CASI Pharmaceuticals, Inc. (CASI) has broken the very wide and weak rising the short-term trend up and an even stronger rising rate is indicated. For any reaction back there will now be support on the roof on the current trend broken at $1.26, a point that may provide a 2nd chance needed to hit a runner. The next trend top is most likely to be exhibited at $1.55 will be the next possible trend-top level and thereby pose a resistance level which may not be broken at the first attempt.
CASI Pharmaceuticals, Inc. Technical Signals
CASI has witnessed its long term and short term MA triggering a buy signal. Many traders watch for short-term averages to cross above long-term averages to signal the beginning of an uptrend. Upon corrections, the price will meet support from the averages between $1.26 and $1.04. A break down through these support points will trigger sell signals. Its pivot point low generated buy signal on Wednesday September 13, 2017, which calls for additional surge until the stock forms a new pivot point high. CASI Pharmaceuticals has rising volume and follows the last lift in the price. This is considered to be a technical positive sign as volume should follow the price-formation. Higher liquidity also reduces the general risk.
CASI Pharmaceuticals, Inc. (NASDAQ:CASI) Support And Resistance Levels
In case of pullback, the next support the price will capture from accumulated volume will not be far away from current price at $1.50. It seems to be blessed by the accumulated volume as it meets no resistance above current level and favorable trading conditions will help the stock to show strong performance in the coming days.
It seems to be cursed by the accumulated volume as it meets no support below current level and favorable trading conditions around $ will drag the stock lower.
CASI Pharmaceuticals, Inc. (CASI) Risk Assessment
A volatility based measure Bollinger Bands suggests this stock poses high risk. In the most recent session, the stock price hovered around $0.59 between high and low, or 42.14%. The average volatility for the past week stood at 24.62%.
The stock is extremely overbought on RSI14 (92). Normally this will pose a good selling opportunity, but since the stock has broken the trend up the chance for a major correction due to high RSI is very small as the stock will find support at the trend broken.