You could do well to keep an eye on the Prevention Bio (NASDAQ:PRVB) stock this morning in light of the gains made by the stock back on Friday. Prevention Bio had emerged as one of the notable gainers on that day and ended the day with gains of as much as 23% amidst heavy interest.
Trading Data
On Friday, PRVB stock surged 22.35%% to $4.16 with more than 12.07 million shares, compared to its average volume of 852K shares. The stock has moved within a range of $3.6300 – 4.2900 after opening trade at $3.68.
Key Trigger
The rally in the stock came about after the company announced that it was making plans for making a resubmission of its Biologics License Application in relation to its type 1 diabetes delaying product teplizumab. The news may have come as a major boost for investors considering the fact that last July Prevention Bio had got a setback regarding the matter.
At the time, the company had got a complete response letter regarding teplizumab from the United States Food and Drug Administration. The news about the letter had come as a massive selling trigger and the Prevention Bio stock had tanked by as much as 30% immediately.
However, the latest announcement from the company seems to have brought in a wave of optimism for investors and it will be interesting to see if the stock can maintain the momentum.
Technical Data
PRVB stock is below the 50-Day and 200-Day Moving averages of $4.55 and $5.71 respectively. However, the stock is trading above the 20-Day moving average of $6.63.
