Technical Analysis Concepts apply to all stocks, HOWEVER there are certain "quirky characteristics" on specific stocks, that you have to notice and take into account.
Yesterday, SRPT confirmed its DAILY ABC br breaking out over $32.40 on more than 3.85 million shares daily volume. That ABC projects primarily to between $34.95 and $37.47 with a 5% chance of going as high as $39.03. Now we hit a high of $34.39 yesterday, so our ABC projection signals we have more to go today, but if you go back form NOW to last June 2012; only 6 times did SRPT have a noticeably high volume positive day followed by a second day GAIN. That ts a lousy track record gor FOLLOWUP DAYS; and tells us what we already know. The market on SRPT is filled with SPECULATING DAY TRADERS who grab the money and run (after days like yesterda); AND SRPT attracts a big crowd of SHORT PLAYERS who reallu believe approval is several years away (and thus SRPT is currently OVERVALUED).
God bless..Let's get #7 today! Bud
2 of the last 3 rallies sold off the next day. It's OX and its friday. It was a no news rally. Options mm buys stock when they write calls, then sell stock to make them expire worthless. There are a lot more calls than puts above the 26 strike, and the premiums paid were high due to volatility and speculative buying pressure. Q: How low can you go? I expect a test of support before another leg up. The spoiler is whether inside info was leaked and there will be news today. .