There might be some serious resistance between 8.3 to 9.8. With the target as high as $17, it will be eventually broken, depending on R&D news, FDA approval, investment, and BO rumors/offers. It seems tough times is behind, we will see how this goes.
* Note: use this as reference only, don't buy any stocks without your own research and DD. This is opinion, not advice.
For example, Ariad Pharma was taken out for $5.2B USD. So sooner or later, we might talk billions. FDA, execution, new pipeline, all take time.
EHA news is very significant, with such stellar result, it might have a frontline treatment in development and become a platform company. As a result, VSTM Stock popped, hitting $9.0X 52WH at some point. However, as previously noted, there is serious resistance between $8-9. It retreated back to the first $7.41 Fibonacci line.
Looking forward, with the help of addition to Russell 2k index, VSTM should climb/oscillate from mid $7 to $9 again. With future catalyst like EU partner, it will pass $9 and test $10. It takes 10 years to develop a good drug, yet people felt holding stocks for 10 weeks is too long. I doubt jumping in and out counting pennies will beat those who research, believe, buy and forget.
After seeing a textbook triangle flag pattern, we expect a breakout pattern to continue. The first range is between $9-$12. If FDA approval is announced, things might get more dramatic. I expect some people will take some chips off the table. However, the future of Verastem looks bright, especially with sales kicking in soon.
Next week: we might test $10, trader love integers. It might get there lightning fast and retreat.
For many long-term VSTM investors, the real show will start... GLTA