What's Next For Ocugen Stock As It Nears Key Resistance Level?

Ocugen Inc. OCGN shares traded higher Tuesday after the company announced that its coronavirus vaccine co-development partner Bharat Biotech reported Phase 3 results demonstrating 77.8% protection against overall disease. 

Ocugen was up 6.45% at $7.76 at last check.

Ocugen Daily Chart Analysis

• Shares have been trading in a sideways channel and recently were able to bounce at support. Shares are approaching resistance and could see a break in the coming weeks.
• The stock is trading below the 50-day moving average (green), but above the 200-day moving average (blue), indicating the stock is likely in a period of consolidation.
• The 50-day moving average may hold as an area of resistance while the 200-day moving average may act as an area of support.

Key Ocugen Levels To Watch

• The stock was able to find support at the $6 level and started moving higher toward resistance.
• If the stock can continue to head higher, it may find resistance near the $10 level. Past the $10 level, the stock may find resistance near the $19 level.
• The Relative Strength Index (RSI) sits at 46 and has been trading sideways throughout the past couple weeks, meaning there has been a fairly equal number of buyers and sellers in recent weeks.

What’s Next For Ocugen?

Bulls would like to see the stock continue to move higher and cross above the $10 resistance level. With some consolidation above this level, the stock may see a higher move and eventually start working its way toward the $19 resistance.

Bearish traders would like to see the stock break below the $6 level. If the stock is able to break below this support level and consolidate below the level, it may see a further downward push. Bears would also like to see the RSI start falling lower and reach the oversold area.