What’s Happening to the Share Price of Pharmaxis Ltd?

What does Pharmaxis Ltd do?

Pharmaxis Ltd [ASX:PXS] is a research based pharmaceutical company with a portfolio of products at various stages of development and approval.
It has Bronchitol for cystic fibrosis marketed in Europe and Australia. A clinical trial is underway aiming to secure approval for Bronchitol in the US.
The drug Aridol, for the assessment of asthma is approved and sold in Europe, Australia and Asia.
The company also has other products in the pipeline, targeting liver related conditions, pulmonary fibrosis and some cancers.
That’s interesting, but what is the chart telling us?

What does the chart look like?

I find it helpful to bring up a chart. Here’s the daily chart of PXS.

1

Source: STEX
Almost a month ago the share price gapped up on news of the company completing its restructure program and announcing a new focus on partnering to de-risk projects and generate increased revenues.
Since then the gap has not been filled and the stock has been trading in a very narrow range. A strong break either way will tell us if the new focus on partnering is successful.

Are PXS shares a buy?

Well you could let the market tell you that. So far it is trading in a very narrow range. While the gap up does not fill, one could keep an eye on PXS just to see how things progress.
You just need a little charting knowledge to know how to proceed. You can get that chart reading knowledge here. You remain at a substantial investment disadvantage without it.

Cheers,
Terence Duffy,
Research Analyst, Cycles, Trends and Forecasts

Join Markets and Money on Google+


Terence Duffy is an analyst and chartist, specialising in researching economic trends and cycles.  His primary focus is housing and land affordability. But you can also depend on him to offer his unique analysis of stock market charts. As Terence will show you, the charts often forecast, well in advance, the good or bad news to come — which he details in Cycles, Trends and Forecasts.


Leave a Reply

Your email address will not be published. Required fields are marked *

Markets & Money