Why Is Novavax Stock Dipping Tuesday?

Novavax Inc. NVAX shares are trading lower Tuesday after the company acknowledged to Reuters that it has completed delivery of only about 10 million doses of its COVID-19 vaccine.

This number comes in much lower than the 2 billion doses that were expected to be delivered around the world.

Novavax was down 12.31% at $83.13 at time of publication.

See Also: How To Buy Novavax Stock

Novavax Daily Chart Analysis

• The stock continues to fall after breaking below support in what traders call a pennant pattern. The stock has seen a few weeks period of heavy selling and shows the stock has been in a freefall lately.
• The stock trades below both the 50-day moving average (green) and the 200-day moving average (blue). This indicates the sentiment has been bearish, and each of these moving averages may hold as an area of resistance in the future.
• The Relative Strength Index (RSI) saw a dip lower Tuesday and now sits at 35 on the indicator. This shows that the stock is seeing more sellers than it is buyers and is nearing the oversold region. If the RSI reaches this area it may continue to see strong selling in the future.

What’s Next For Novavax?

The stock is falling again after it looked as though it could be bouncing back higher. The stock saw a week of bullish movement but more recently shows it was unable to hold the price and has faded lower once again.

Bullish traders want to see the stock form higher lows and see the RSI climb once again to show buyers entering the market. Bulls eventually want to see the stock cross above the moving averages.

Bearish traders are in control of the stock and are looking to see the RSI stay low and break into the oversold region once again as well as hold below the moving averages.