Cytori Therapeutics Inc (NASDAQ: CYTX)
Yesterday was an absolutely amazing day in the market for Cytori. After being granted regulatory clearance in China, the stock skyrocketed. Although we did see a bit of a spike in early trading this morning, the rest of the day has shown movement in the downward direction as the market starts to show strong resistance.
Where CYTX Is Meeting Resistance
In this case, the resistance point is clearly at $1.40 per share. Looking back to yesterday, the stock reached this point before falling at 9:30, 1:00, and again at 9:30 this morning. Before it reaches this point, there’s a clear parabolic pattern showing that resistance is on the way as well. Finally, while the stock has reached this point 3 times in the past 2 days, it has still not broken out!
Can We Expect To See A Breakout?
In my opinion, the answer is “Yes”. The investing world is incredibly interesting in the fact that we follow strategies that hinder growth or declines here and there. That’s exactly what we’re doing right now. However, we can’t discount the great news we got yesterday. CYTX got regulatory clearance in China; opening not only a huge market to the company, but the world’s largest health care market! For any health care company, that’s huge news! While it may take some time for the breakout to happen, it’s innevitable moving forward.
What We Can Expect From Cytori Moving Forward
For this one, I decided to ask my friends Jeff and Ross from WarriorTrading.com. If you haven’t checked out their site, take the time and give it a look; the guys are geniuses! With that being said, geniuses are very busy; so, they didn’t have much time, but their answers were very clear…
Jeff – “CYTX we traded last week. It looks like it is having trouble getting through that triple top at 1.47, once it breaks OVER that, it will probably be a nice breakout. if not, it is still trading in a range. Volume pretty light today.”
“Yeah i agree, over $1.50 is of interest, until it breaks it will be light on vol i think”
What Do You Think?
What do you think will happen with CYTX stock? Are we going to see a breakout? Let us know in the comments below!