Aug 27, 2010 10:04 AM PDT
I'll keep this brief - the selloffs are coming a lot easier than the rallies now, and we're starting to make lower lows and lower highs. The selling volume has also picked up the last couple of days. I'm going to take it all at face value.
The key support line broke in late June (see chart). This penny stock had a shot at recovering last week and this week, but the lack of volume let the rebound attempt falter and fall flat on its face. Now it looks like the downtrend has resumed.It's got to be more than a little frustrating for current or prospective Genta owners, as both the melanoma treatment Genasense (in Phase III) and anticancer therapy tesetaxel (in Phase II) have both shown solid efficacy at their key checkpoints. With most of that good news used up for a while though, there's not apt to be a lot of inspiration for upside movement share-wise.
Even Tuesday's announcement that Genasense's LDH Biomarker had been specifically linked to survival in cancer patients couldn't get the stock going. The lack of reaction may be an omen of what's going on in the back of investor's heads.
Our first bearish/short checkpoint for this penny stock is 25 cents, and then 13 cents if that line fails to hold.
That doesn't mean the interest and chatter isn't there though - Genta is one of the most-discussed stocks on the message boards today. It's just that most of it is negative. Unfortunately, you can't invest in tesetaxel's efficacy... you can only invest in GETA shares.
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