REGN trade ideas
Regeneron ShortNASDAQ:REGN
Regeneron looks like it may be topping out here.
Price is navigating through an ascending wedge over the last two weeks of trading.
Both the MACD & RSI are showing bearish divergence building over that same timeframe.
In addition, the RSI is falling out of overbought territory while the MACD looks primed to cross under the signal line.
Daily candles have begun peeling away from the upper Bollinger Band.
Price is just under the median line of the (White) Modified Schiff Pitchfork, which has been a reversal area in the not so distant past.
Full view of Pitchfork:
Thus far, price has just missed testing the median line.
A failure to tap that median line would signal a strong downside is imminent. (Hagopian Law)
If that occurs, I suspect a strong price decline to the lower paramedian line of the Modified Schiff Pitchfork. (White)
I placed the (Blue) Andrews Pitchfork on the recent pivots points to show the potential path price could take on it's journey to the lower paramedian line.
A drop out of the ascending wedge will trigger my short entry.
My take profit level would be at the lower paramedian line between $635 - $650 depicted by the green box and red bullseye.
3/20/22 REGNRegeneron Pharmaceuticals, Inc. ( NASDAQ:REGN )
Sector: Health Technology (Pharmaceuticals: Major)
Market Capitalization: $74.451B
Current Price: $685.94
Breakout price: $687.00
Buy Zone (Top/Bottom Range): $660.50-$603.40
Price Target: $812.00-$816.40
Estimated Duration to Target: 125-130d
Contract of Interest: $REGN 9/16/22 700c
Trade price as of publish date: $50.35/contract
REGN: volatility squeeze?The Bollinger Band Squeeze occurs when volatility falls to low levels and the Bollinger Bands narrow.
Periods of low volatility are often followed by periods of high volatility. Therefore, a volatility contraction or narrowing of the bands can foreshadow a significant advance or decline.
Once the squeeze play is on, a subsequent band break signals the start of a new move. A new advance starts with a squeeze and subsequent break above the upper band.
RSI leaves enough room for upside price potential.
Above 600 supports a bullish trend direction.
Cup and HandlePrice is not to long entry level yet which would be over the left side, or sell side of the cup.
Known to be volatile like biotech tends to be.
Negative volume is high showing interest. Short interest is 1.57%.
Estimated earnings 2-3-22 BMO. (before market opens)
There should be strong support at mid cup which is 5582.82 and at the handle low (HL) The cup depth is 223.64.
No recommendation.
The alligator is trying to tangle which can suggest consolidation of price.
Taking profits on REGN swing tradeIt seems like we've ended an impulsive cycle of 5 waves, now expecting a three waves pullback. Either that or what it seems to be an ending diagonal is instead a leading diagonal (1st of 5th): then we should see further upside.
Since I'm up 37% on my trade, I'm taking profits.
Disclaimer: this is not financial advice. I'm an amateur investor. Trade at your own risk.
IS THE REGENERON PHARMACEUTICALS INC IS READY FOR A NEW ALL-TIMEIs Regeneron Pharmaceuticals ready for a new all-time high, or will it test again the previous one at $620 from October 2020 and confirm it as a strong resistance?
Regeneron Pharmaceuticals is a leading-edge biotech and pharmaceutical company that focuses on cytokines and tyrosine kinase receptors at the cellular level. First, Regeneron developed an experimental antibody cocktail to treat COVID-19 called REGN-COV2. This treatment was granted emergency use authorization by the FDA and was even provided to former President Trump when he contracted the virus. They have a diverse product offering outside of COVID-19 offerings and some exciting possibilities in their pipeline. Also, they recently announced a new partnership with the British pharmaceutical company AstraZeneca to research and developed small molecule compounds targeting the GPR75 gene. This is also promising because the Regeneron Genetics Center discovered the GPR75 gene to be a key factor in developing obesity, a disease that over 650 million people suffer from around the world. It is inspiring when you consider that the comorbidities associated with obesity can manifest as a significant cost to insurance companies, making the drug more marketable. Over the past couple of years, the growth of the generics industry has been staggering, and Regeneron is fast becoming a major player. On August 5, the company announced its results for the second quarter of the year by beating the forecast results and publishing a better revenue and EPS. Fundamentally the company looks ready for a new all-time high, but dividends and share purchases are the areas where the company becomes a bit complicated. It is focused on its funds on R&D and has done exceptionally well, but it does not currently pay a dividend, and the net buyback rate is low.
It is interesting how the investors will react at these price levels because it looks like that the price revert and confirm the $620 price level as a strong resistance. But if this correction in the long uptrend is temporary, the price easily reaches the previous all-time high at $666 and try to break through it. But it is also possible to picture the graph we saw between October and December last year in a downward direction to the price levels of $540 or far on South to $467.
Looking at oscillator indicators, we can see that the correction starts from the RSI overbought zone.
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REGN LONGI'd enter Regeneron here at 580$ / share .
Risking 28$ in my position .
SL set at 552.
Price Targets are listed on chart : Previous ATH (664) , 800$ .
R:R is in our great favor as price can go $200 to the upside while only risking $28 per share.
Enter at own risk but I believe this is a great play.