AADI - NASDAQ PENNY Biotech pre-earnings LONGAADI has earnings in two day. On the 30 minute chart, it is significantly below the highs of May
and June where it was in a wide ranged consolidation. After that in July price trended down
along the support of the second lower VWAP line into a reversal on August 1 shich also
ascended the VWAP lines. Upcoming earnings are in two days on the 9th. Prior two
earning reports lightly beat the top and bottom lines. This small biotechnology company
is making money unlike many of its cash-burning peers. The zero-lag MAC shows a line
cross under the histogram which flipped red to green as the lines rise. With this confirmation,
I will take a long trade into the earnings. There is no alternative in a call option in this case.
From the chart, targets are 6.9, 6.9, and 8.0 over a stop loss of 5.45. I expect this trade to be
finished in 4 days or less.
