Quantcast
Novavax (NVAX) Shows Signs Of Slowing Down | The Mesh Report

Novavax (NVAX) Shows Signs Of Slowing Down

Christian Tharp, CMT June 13, 2022 Comments Off on Novavax (NVAX) Shows Signs Of Slowing Down

Novavax, Inc. focuses on the discovery, development and commercialization of vaccines to prevent infectious diseases. It provides vaccines for COVID-19, seasonal flu, respiratory syncytial virus, Ebola, and Middle East respiratory syndrome.

Take a look at the 1-year chart of Novavax (NASDAQ: NVAX) below with the added notations…

Chart of NVAX provided by TradingView

NVAX had recently formed key support at around $42, while also declining against a down trending resistance line. Those two lines had NVAX trading within a common pattern known as a descending triangle (green). Eventually, the stock would’ve had to break out of it, as it did last week. Expectations for the stock would be similar to the previous descending triangle breakdown (yellow).

The Tale of the Tape: NVAX broke out of a triangle pattern. A short trade could be made now, or on a rally back up to prior support, with a protective stop set above the level of entry.  

Before making any trading decision, decide which side of the trade you believe gives you the highest probability of success. Do you prefer the short side of the market, long side, or do you want to be in the market at all? If you haven’t thought about it, review the overall indices themselves. For example, take a look at the S&P 500. Is it trending higher or lower? Has it recently broken through a key resistance or support level? Making these decisions ahead of time will help you decide which side of the trade you believe gives you the best opportunities.

No matter what your strategy or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade.  Capital preservation is always key!

Good luck!

Christian Tharp, CMT 

ATTENTION SUBSCRIBERS!

Do not trade options until you watch my urgent message and learn my:

6 Simple Steps to Profitable Options Trading!



Comments are closed.