For the past two days, there’s been quite a bit of fuss about Amarin (NASDAQ: AMRN) stock prices. That’s because the stock has been down, and in a big way this week. However, it’s important that we remember what happened last week as well. So, today we’ll talk about why Amarin (NASDAQ: AMRN) stocks showed so much growth at the end of last week, why the fell in the beginning of this week, what we’re seeing today, and what we can expect to see from the stock in the near future.
Why Amarin (NASDAQ: AMRN) Stocks Went On The Rise
Last week was a big week for Amarin (NASDAQ: AMRN) and the company’s investors. That’s because a well respected and very experienced analyst by the name of Mr. Fein upgraded the stock from a “Neutral” rating to a “Buy” rating; changing the target price for the stock from $2.50 per share to $10 per share and insinuating strong upward growth.
As a result of the rating, Amarin (NASDAQ: AMRN) stocks were flying high. After closing under $2 the day prior, the stock shot up more than 20% to over $2.40 per share. Friday was no different either. By the end of the day Friday, the stock had reached well over $3 per share after another massive growth day.
Why Amarin (NASDAQ: AMRN) Stocks Fell Earlier This Week
As we tend to see following a stock’s explosive growth, Amarin (NASDAQ: AMRN) stocks fell dramatically in trading on Monday and Tuesday; losing well over 10% each day. However, it is important to note that the stock price did not fall below where the rally started. I also think that it’s important to note that the fall we’ve seen is completely healthy for the stock…
Yes, I said it! The decline has been…how dare I….HEALTHY!
So there has been quite a bit of fuss around the fall of the stock this week. I’m talking, “The sky is falling!!!” kind of fuss. However, it’s not all that bad. What we’re seeing here isn’t a case of a stock that will fall long term, we’re seeing a correction in the market after the stock grew too much too fast. I know it’s not at $10 yet, but Mr. Fein didn’t set the target price at $10 to be reached by the end of the week. Once investors started to realize that the stock was growing too fast, they made a wise decision to slow down a bit! So, nothing to fear here everyone. The sky’s not falling and the floor isn’t dissipating from beneath us…we’re just seeing a natural correction!
What We’re Seeing From Amarin (NASDAQ: AMRN) Stocks Today
Today, we’re seeing more explosive momentum in the positive direction from Amarin (NASDAQ: AMRN) stocks. So far (11:04), Amarin (NASDAQ: AMRN) stocks have climbed 14.35% to a price per share of $2.71. While it is growth, it is moving a bit faster than I would consider to be a healthy rate. It looks like there was quite a bit of buying as investors tried to get in at a very cheap price. As a result, we’re seeing a strong spike.
What We Can Expect In The Near Future?
Amarin (NASDAQ: AMRN) stocks will grow long term. However, in the near future we’re going to see quite a bit of strong ups followed by strong downs as investors try to stabilize the price’s growth. Nonetheless, if you draw trend lines on the Amarin (NASDAQ: AMRN) candlestick chart from Thursday forward, you’re going to see that the momentum is mostly up overall!
What Do You Think?
Do you think Amarin (NASDAQ: AMRN) stocks will rise or fall? Let us know your thoughts in the comments below!