Keryx Biopharmaceuticals – Cup and Handle Breakout

By | March 3, 2015

The company reported disappointing earnings yesterday, but shares of Keryx Biopharmaceuticals (KERX) were up and continue higher today. This kind of counterintuitive price action often suggests even higher prices. There is a 30% short interest in the stock. In February the stock made a low and followed with a higher low under horizontal resistance in the $12.50 area, forming a cup and handle pattern. Price and money flow momentum indicators have all turned higher, and today rim line resistance was broken and the 50 day moving average is being tested.

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