CRISPR editing firm Intellia Therapeutics (NTLA) was rated a new fundamental "overweight" (buy) by a sell-side firm Wednesday with a $67 price target. In my October 11 review of the NTLA charts I found the charts to be weak.
Let's check on the condition of the charts and indicators again.
In this updated daily bar chart of NTLA, below, I can see that the shares weakened further from my October 11 analysis but have made lows in December/January. Trading volume has been heavier the past two months and suggests we are seeing a change in ownership from weak hands to stronger hands. The shares are just a little bit above the 50-day moving average line but still below the declining 200-day moving average line.
The On-Balance-Volume (OBV) line has been weak with a low just made in January. The trend-following Moving Average Convergence Divergence (MACD) oscillator has improved recently but is still below the zero line.
In the weekly Japanese candlestick chart of NTLA, below, I see a mixed picture. The shares are still trading below the 40-week moving average line.
The weekly OBV line has struggled the past 18 months or so but may have made a low in January. The MACD oscillator is below the zero line but looks ready for a cover shorts buy signal. The candles show a bottom reversal in late December.
In this daily Point and Figure chart of NTLA, below, I can see an upside price target in the $60 area.
In this second Point and Figure chart of NTLA, below, I used weekly price data. Here the software comes back with the same $60 price target.
Bottom-line strategy: The charts and indicators of NTLA are not totally "out of the woods" so traders might only want to be light buyers of NTLA on available weakness around $40. Risk a new low close of $30.
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