Kramer said that Emergent has a long history of focusing on public health threats. Covid-19 is now their primary focus. He said Emergent is here to support any vaccine candidate with the goal of getting them through Phase I and II trials and into manufacturing.
He said while everyone is hopeful to have viable candidates ready by the end of the year, no one can or should make those claims.
Let's check out the charts of EBS.
In the daily bar chart of EBS, below, we can see that prices began a strong upside move in late August long before the words "coronavirus" and "pandemic" entered our vocabulary. There was another push up to a new high in February and then a shallow correction in March before renewed strength into April and May. Prices are above the rising 50-day moving average line and above the rising 200-day moving average line.
The daily On-Balance-Volume (OBV) line began its rise way back in August and tells us that buyers of EBS have been more aggressive for several months. The trend-following Moving Average Convergence Divergence (MACD) oscillator is clearly bullish with no hint of weakness.
In the weekly bar chart of EBS, below, we can see a bullish picture as prices have broken out over their 2018 highs. EBS is above its rising 40-week moving average line.
Trading volume has increased the past three months to confirm the strength and the weekly OBV line has been rising from last May and is not far from making a new high for the move up. The MACD oscillator is in a bullish alignment.
In this daily Point and Figure chart of EBS, below, we can see the uptrend displayed with less "noise." A potential price target of $90 is being projected.
In this weekly Point and Figure chart of EBS, below, we can see a longer-term price target of $153.
Bottom-line strategy: I follow the former head of the FDA on Twitter but I have no idea who may or may not be the big winner in the race for a vaccine. EBS has been in an uptrend for a long time so I look for that trend to continue. Traders could go long EBS closer to $75 and risk a close below $69. Our price targets for the months ahead ar $90, $100 and $150.