Not that Novavax (NASDAQ:NVAX) is still facing a red code. But when it comes to what’s going on outside and on the price chart, it might be a good idea to advise the bulls to withdraw NVAX shares. Let me explain.
Most of us, without the previously weary business travelers, have little, if anything, to say about Covid-19 and the pandemic that is now taking its toll on our daily lives for the second year in a row.
The same cannot be said for Novavax and “some” NVAX stock investors.
In 2020, NVAX gained more than 2,350% as the stock rose from $ 4.44 to a high of $ 189.40 before ending the year at $ 111.51. And the fantastic profits were not without reason.
The NVAX share stands out from the ambiguity
Novavax has changed from a more obscure micro-cap biotechnology with a history of exciting stock ups and downs to a name with a large capitalization on the back of the coronavirus. Some households.
In its current state, and after receiving $ 1.6 billion from the U.S. government during the first wave of the pandemic, Novavax actually helped vaccinate more than a few people.
But these individuals and families are from 170 countries except the United States. And that failure proved significant enough to complicate the lives of many other NVAX stock investors over the past year.
In 2021, Novavax shares rose another 29% to close at $ 143.07. Not bad, but far from the whole story.
Driving with a Roller Coaster
Amid U.S. manufacturing, volatility similar to county slides was a common feature of NVAX shares in 2021.
In no particular order, with a 52-week range of $ 117.16 to $ 331.68 and plenty of dizzying ups and downs along the way, it’s fair to say that NVAX shares obviously mean something different to most NVAX shareholders.
Problems with production in 2022 for Novavax vaccine are in the rearview mirror and the application for a US permit has expired in about a month.
And despite accelerating mixing and matching programs now in place, and what could turn into an annual opportunity if Covid continues to dodge and evolve, NVAX stock investors are now face to face with another threat.
Monthly stock chart NVAX
source: TradingView charts
Today, the problem plaguing bullish investors in NVAX stocks is the price campaign in line with the elusive buying of rumors on Wall Street, the sale of news.
Novavax shares are finding bears willing to do just that, as there is no address investors can dive into.
More importantly, Thursday’s 8.50 percent decline seems technically damaging, in addition to a one-off and unusual.
As the weekly NVAX review reveals, the latest price threatens a potential triple-bottom bullish pattern, located at a 62% Fibonacci rise level tied to the March 2020 lowest share value of Covid.
And given the failed design reversal, which is already suspicious given the weak stochastics of the sample, Novavax shareholders could be staring at the red code state.
If investors are inclined or committed to giving NVAX shares the advantage of doubt, now is not the time to stand idly by at very low prices, which could become detrimental pain in 2022 and beyond.
However, this does not mean that NVAX investors have to remove the plug.
Along with proven stock volatility, an actively managed and fully secured collar strategy can help make a profit from share ownership, whether the NVAX stock becomes a U.S. household name or a victim of other less desirable circumstances outside the price chart.
At the time of publication, Chris Tyler did not have (directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author and are the subject of InvestorPlace.com Guidelines for publication.
Chris Tyler is a former manufacturer of the derivatives market on the U.S. and Pacific stock exchanges. Follow Chris on Twitter for additional market insights and related reflections @Options_CAT in StockTwits.