NVCN has seen a massive sell-off and dilution occur for a few months now with capitulation occurring in the past rally. We are in an obvious downtrend. However, it appears that we may have formed a bottom here at .10 as it would be foolish to sell at a loss at .10.
Technical's show a pretty safe buy zone here for NVCN. MACD has remained crossed up. We have strong support at .10 range. There is evident bullish divergence on the daily as we formed a lower low on the chart with higher low on the RSI . This same technical setup occurred a few months back when it fell to .50 range and it bounced to .72. Fundamentals could also be strong as ER is expected to be announced after-hours tonight, March 28, 2018. The fundamentals combined with the technical's show that we could have a short-term rally to the upper level of the downtrend around .20-.30 cents.
If ER provides favorable news, that could be enough to break the downtrend, but resistance is high and there will be a lot of penny pinching profit takers. This is a decent long term hold if you buy here and news is favorable tonight.
Technical's show a pretty safe buy zone here for NVCN. MACD has remained crossed up. We have strong support at .10 range. There is evident bullish divergence on the daily as we formed a lower low on the chart with higher low on the RSI . This same technical setup occurred a few months back when it fell to .50 range and it bounced to .72. Fundamentals could also be strong as ER is expected to be announced after-hours tonight, March 28, 2018. The fundamentals combined with the technical's show that we could have a short-term rally to the upper level of the downtrend around .20-.30 cents.
If ER provides favorable news, that could be enough to break the downtrend, but resistance is high and there will be a lot of penny pinching profit takers. This is a decent long term hold if you buy here and news is favorable tonight.
Order cancelled:
Well did not expect that, must admit. The technical's were right there, but the fundamentals failed this stock. While they met expectations for EPS, paid off the lawsuit, and the products are working really well, the overall summary of the financial report does not paint a good picture. They will require a lot of financing to keep things going, they have a lot more dilution coming through warrants, and there is a slight undertone for a potential bankruptcy in a portion of the report.
The reality seems to be that the only thing that will save this stock is a buy out. At this point in time there are a ton of bag-holders, short sellers, and panic sellers. A single penny increase is enough profit for some people that they instantly sell. Without a major institutional player buying up millions of shares and holding, the price is likely to trend even further down. It is crazy to think but there doesn't seem to be a bottom here.
The reality seems to be that the only thing that will save this stock is a buy out. At this point in time there are a ton of bag-holders, short sellers, and panic sellers. A single penny increase is enough profit for some people that they instantly sell. Without a major institutional player buying up millions of shares and holding, the price is likely to trend even further down. It is crazy to think but there doesn't seem to be a bottom here.