TG Therapeutics Inc. (TGTX) is a commercial-stage pharmaceutical company focused on novel treatments for cancer and other diseases. The company is one of the top three holdings in the SPDR S&P Biotech ETF (XBI) , so let's review its charts and indicators.
In this daily bar chart of TG Therapeutics, below, I can see that prices based in the $6 area before starting their uptrend in November. Prices have rallied six-fold and trade above the rising 50-day moving average line and above the rising 200-day line. Trading volume has increased from November, telling me that there is more interest from investors. The On-Balance-Volume (OBV) line has been strong since late December and tells me that buyers of TGTX have been more aggressive than sellers. The OBV line only shows a slight decline in May, suggesting that traders have held their positions and not liquidated. The Moving Average Convergence Divergence (MACD) oscillator has been correcting but is still above the zero line.
In this weekly Japanese candlestick chart of TGTX, below, I see a positive chart picture. Prices have rallied above the 40-week moving average line and it has a positive slope. The two most recent candles show me lower shadows, telling me that traders are rejecting the lows. The OBV line is strong with only a one-month dip. The MACD oscillator is bullish.
In this daily Point and Figure chart of TGTX, below, I can see an upside price target in the $33 area.
In this weekly Point and Figure chart of TGTX, below, I used a five-box reversal filter. Here the software suggests that it reached and exceeded a $28 price target.
Bottom line strategy: Traders could probe the long side of TGTX in the $26 area, risking a close below $24. The $33 area is my first target for now.
