Jim Cramer commented in a Real Money column that Thursday's rally was sparked by news that Moderna's (MRNA) Covid-19 vaccine candidate is moving to Phase II testing. If a vaccine is indeed just around the corner, that sheds new light on the 3.17 million people who filed for unemployment this week.
But that's a big if, Cramer cautioned. Most vaccines take years to refine and make effective. Moderna would need to see everything go perfectly. We last looked at MRNA stock back on April 17 where we said, "MRNA is likely to gap higher today. Longs should raise sell stop protection to at least $32. $53 and $71 are our potential price targets now."
With MRNA passing our $53 price target let's roll up our sleeves and check out the latest charts of MRNA.
In the daily bar chart of MRNA, below, we can see that prices have been consolidating in a $45-$55 trading range. Prices are above the rising 50-day simple moving average line and above the rising 200-day simple moving average line.
The daily trading volume has been active since late February and tells us that traders and investors have been attracted to the stock. The daily On-Balance-Volume (OBV) line shows an uptrend from September and confirms the price gains. Buyers of MRNA have been more aggressive these past months.
The Moving Average Convergence Divergence (MACD) oscillator has been above the zero line for much of the past 12 months and has turned upward to a fresh buy signal.