Vical Breaks Out on High Volume
November 29, 2011 3:28 PM
Shares of Vical (NASDAQ: VICL) are trading higher on the session by 3.59%, at $4.04. The stock has been consolidating above the 20-day and 50-day moving averages for the past few weeks, but has now burst above that near-term resistance ($3.95).
Volume is high on the session, currently running at 1.2x the 10-day daily average. This supports the breakout, suggesting that the move could take shares much higher. First resistance comes into play at $4.50, followed by $4.95, and finally the 52-week high of $5.30.
Note that Vical has 8.91% short interest.
Options traders can look to play the upside by buying the $2.50 in any month you desire. This is a nominally cheaper way to play the name with a much smaller max loss.
Stock traders can get long shares around these levels with a stop loss just below the break out level, at $3.95.
Vical Incorporated researches and develops biopharmaceutical products based on its deoxyribonucleic acid (DNA) delivery technologies for the prevention and treatment of serious or life-threatening diseases.
