INCY - Incyte Bullish Breakout
Updated
On this 5 Month Daily Chart of Incyte you can clearly see the Bearish Trend that included the last 6 weeks of each daily candle trending below the 7 Day EMA until just the last 2 trading days where the bottom was made and INCY finally broke above the 7 day EMA on very good strenth with much higher volume than anthing seen during this downtrend. The RSI for the Trend Reversal is showing very good strength and the Money Flow Index has developed a Bullish Divergence to confirm this as well.
My confidence is Very High that Incyte will have a 10-15 % Gain over the next 3 weeks as it gradually moves back up to fill the Gap Down on May 2nd as shown on the Chart.
My confidence is Very High that Incyte will have a 10-15 % Gain over the next 3 weeks as it gradually moves back up to fill the Gap Down on May 2nd as shown on the Chart.
Note
Keep in mind here that it took several weeks for the price to drop from $72.00 down to $60.00. My chart shows the potential rise back up to $72.00 within 3 weeks however it may take 5 weeks as it closes into Earnings. The big question is that the EPS is set for this coming report at 7 times higher than last time. Is that a reasonable estimate? Has there been any news to make us believe that it can be achieved? Almost 90% of the Float is held by Institutional Funds so thats why trading volume is relatively low and the share price moves at a snail pace, however that's also a good thing because it shows that confidence is high in this company to achieve it's goals.Note
Major HoldersCurrency in USDBreakdown
1.53% % of Shares Held by All Insider
96.51% % of Shares Held by Institutions
98.01% % of Float Held by Institutions
904 Number of Institutions Holding Shares
So what does this tell us? First of all there is only 2% left of the Tradeable float. With the Share Price suppressed over the past 3 years to the current low, the share price is likely to climb higher rather than Lower.
904 Institutional/Mutual Fund holders are not prepared to sell at these levels and lock in their losses at a minimum of 40% - decline.
With 223.09 Million shares issued there are only 4,461,800 shares left to trade.
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