Do Genedrive shares have a prescription to succeed?
8th December 2022 07:26
by Alistair Strang from Trends and Targets
His previous analysis proved accurate, although even independent analyst Alistair Strang was shocked by what happened next. Here's his update on this AIM company.
We reviewed Genedrive (LSE:GDR) exactly a year ago and it’s fascinating to see how our share price scenario unfolded. The saying; “sometimes life comes at you fast” rarely proved as apt as with their share price. The day following our logic giving 81p as a target, the price exactly hit the 81p level, yet failed to exceed it. Instead, it closed the session at 70p.
Unfortunately, what happened next was to prove important.
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On 21 December, their share price then, somehow, discovered a reason to close below 41p with what happened next being a tragedy. Make no mistake, from a Big Picture perspective, our calculations remain showing a ridiculous attraction from an impossible 14p. Perhaps anything below 8p shall discover a bounce point at 6p but we’re not exactly oozing confidence.
From a near-term perspective, there’s a suggestion of movement above 10.6p as apparently capable of triggering slight recovery to 12p.
Such a gain is obviously useless to the plethora of folk trapped since last year. But glancing at the chart, such a movement would return the share price above the Red uptrend which dates from the start of 2020. A crucial side effect of such a phenomena is normally a return of confidence from the market, creating a situation where immediate gains can outperform logic.
In the scenario of the share price closing a session at or above 12p, we anticipate future recovery to an initial 17.7p with secondary, if bettered, at 22p. Hopefully this proves worth watching as the company appear to be providing an attractive range of medical aids.
Source: Trends and Targets. Past performance is not a guide to future performance
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
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