Array Biopharma: Now Net Bearish
Declan Fallon | Oct 14, 2013 02:28AM ET
My fundamental review of Array Biopharma (ARRY) is available on the Motley Fool ; it didn't go down too well with some shareholders...
My initial assessment (not the publish date of the article), was "bullish", but the last few days have tempered this somewhat. My original opinion was for a stock which had handily cleared $6.00 resistance on big volume, and (successfully) backtested the breakout gap at $5.50 before recovering.
However, last week saw a rapid drop back to $5.50, and an eventual undercut of $5.50 which managed to hold at the 200-day MA. This drop was enough to break the bullish technical picture, which is now net bearish.
Bulls are not entirely out of the picture: $5.50 is still a point of support as of Friday's close, and the 200-day MA currently at $5.18 can't be excluded as a defense point.
Should the 200-day MA break, then the next level of support is $4.49.
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