Genta Shares Breakout Higher, Remain in Channel
Genta Incorporated [[GNTA.OB]] shares jumped higher as technical traders pushed the stock towards the upper end of a long-term channel. The move was supported by the expectation of further updates on the company’s newly-enrolled Phase 3 trial for its GenaSense anti-cancer drug. After a series of failures dating back to 2005, investors are hoping that this latest enrollment will final result in a success (see article).
Technical traders believe that the next major resistance is around $0.025 at the upper end of a long-term channel. However, the relative strength index (RSI) – a key indicator of overbought or oversold conditions – appears to be topping, which could signal profit-taking before another leg up.
Meanwhile, a major success in Genta’s Phase 3 trials could see the stock soar to its next resistance level at around $0.15 per share as investors anticipate approval from the FDA. Regardless, traders on both sides of the trade should be careful as any news can send this stock sharply in either direction.
CONTACT: Daniel Minton, Managing Director, 406-862-5400, daniel@accelerize.com