need technical analysis please!

I would guess it is being run up in anticipation of the year end quarterly report.

They have made serious changes at the head of the company replacing the President of the company and a couple of directors at the end of last year....perhaps that is viewed positively by investors.

http://web.tmxmoney.com/article.php?newsid=63797719&qm_symbol=MDGN:US

Financially it loses money every quarter but on the other hand it has no debt...short or long term...this is a bit suspicious but I suppose the company raises money some other way as it has no operating revenue while their drugs go through their FDA Approvals and thay are only in Phase I & II at present so they are a long way from marketable yet.

http://web.tmxmoney.com/financials.php?qm_page=37724&qm_symbol=MDGN:US

So my guess this is a lead up to the year end results as I said earlier...investors hoping for a good result with new management.

from a TA perspective

I would not trust this stock as it approaches a band from $8.70 - $9.10 where I see a resistance.

http://stockcharts.com/def/servlet/SC.pnf?chart=MDGN,PWUADANCBO[PA][D][F1!3!0.10!!2!20]&pref=G

P&F charts are old school but they are useful for resistance/support IMHO

If the coming financial report is good news then I could imagine the investors will rise the price further as a stamp of approval of the new leaders of the company

That is how I see it anyway
 
I guess my rollover point was just a run of the mill bull flag.

I like your theory, but I just can't see any way this company is worth anything until they get something approved by someone other than investors.
 
You are absolutely right...when it comes to Biotech stocks, they seem to run on emotion more than fact. The lemmings of the investment world want in on a Biotech that has a drug that passes Phase III testing so then they think the company will eventually make millions in revenue...unfortunately with this company they only have drugs in Phase I & II testing so it will be years til they get near the final testing.

That is what I do not like about that industry...you can get trapped in it so easily. I remember about 10 years ago invested in a Biotech which was on "fast tracked" phase III testing...it was to be a slam dunk....it was only $1.20 (I like pennies if they have promise)...it was down from about $1.50 a month earlier...but I did not care..."Fast tracked Phase III", Slam dunk, it was a heart drug for repair AFTER a heart attack (no competition), leader in the field running the company, phase I & II passed with flying colors.

Over night the stock plummeted $0.85...the drug failed the Phase III...I got out at $0.45 and it kept falling to about $0.20...today that stock is worth $0.40 AFTER a 1:15 reverse split.

That experience turned me off Biotech's completely {sigh}
 
I haven't searched for it, but I'm sure a thread dedicated to biotech failures would be entertaining. I was stuck in the QCOR debacle a while back. I also had a friend who worked at a place in Cambridge called AVEO. I ducked in and out of it for a while, but managed to avoid their Phase III failure by a few days. I think the only biotech that ever worked out was GILD, but that whole sector has to be coming to a rollover after the gains last year. Even more reason to be cautious about this MDGN enigma.
 
to me Biotech's are swing trades a week or so before Phase III are announced. They fall under the old chestnut "buy on rumour/sell on fact".

There is a website that lists the dates for ending of phase III testing....if you are into that sort of thing that would be useful

http://www.biopharmcatalyst.com/fda-calendar/

this is one such website ...I think there are others
 
Thank you for that link.

Want to send you a private message, but it appears you have it turned off (as I likely do, having just subscribed after lurking for a few years).
 
Take most of your profit and leave a little in to see if it runs, put in a stop Los and target for your the last part you leave in, that way you can relax :cool:
 
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