where it opened around £1.25 and now currently stands at £25.
Although it has consistently risen ever since, the trend does contain deep pullbacks so if you decide to trade this stock
then you will have to ride through periods of pullbacks that do last for quite some time.
Patience would definitely be needed with Dechra.
In the most recent pullback, price went down to a level of support from 2 previous resistance levels.
After finding support there, price found the strength to journey back to new heights and clearing the previous
all-time high. If price can remain above the resistance it recently broke through (purple line) then we should
see further moves to the upside.
Some traders may ignore stocks which have deep pullbacks but as long as the stock is a consistent grower then over time
it should produce you plenty of profits.
The pullbacks would offer you ample opportunities to compound by buying new positions when price falls to the support areas.
Looking at the recent pullback area, taking a position there would have put the trader into profit almost immediately.
If you did miss the breakout opportunity to enter then wait and see if price falls to the new which is the
previous resistance (purple line).
One to keep on your watchlist