AcelRx Pharmaceuticals, Inc., a specialty pharmaceutical company,
develops and commercializes therapies for the treatment of acute pain.
The company’s lead product candidate is Zalviso, an investigational,
pre-programmed, non-invasive, handheld system that has completed Phase
III clinical trials for the treatment of moderate-to-severe acute pain
in the hospital setting. The company is also developing ARX-04, a
sufentanil single-dose tablet, which has been planned to initiate Phase
III clinical trials for the treatment of moderate-to-severe acute pain
to be administered by a healthcare professional to a patient in settings
of acute pain, such as in the emergency room, hospital floor,
ambulatory care facilities, or on the battlefield.
Take a look at the 1-year chart of AcelRx (NASDAQ: ACRX) below with my added notations:
Since dropping suddenly in March, ACRX has been basically trading
sideways ever since. During the sideways trend, the stock had created a
clear level of resistance at $5 (green). A break above that $5 level
should mean higher prices for the stock, and last week ACRX finally
broke that resistance.
The Tale of the Tape: ACRX broke through its key
level of resistance at $5. A long trade could be entered on a pull back
down to that level. However, a break back below $5 could negate the
forecast for a higher move and would be an opportunity to get short the
stock.
