NRX Pharmaceuticals Climbs Higher After FDA News, Could See A Breakout Soon

NRX Pharmaceuticals Inc. NRXP shares rallied higher Friday on continued momentum after the company announced the first successful commercial formulation for Zyesami. The stock was trending on social media sites such as StockTwits Friday.

NRX Pharmaceuticals was up 36.11% at $22.39 at last check.

NRX Pharmaceuticals Daily Chart Analysis

• Shares have been trading in what technical traders call a falling wedge pattern, the stock has started to move toward pattern resistance the past couple days.
• The stock is trading above the 50-day moving average (green), but below the 200-day moving average, indicating the stock is likely in a period of consolidation.
• The stock may find support near the 50-day moving average, while the 200-day moving average may hold as support.

Key NRX Pharmaceuticals Levels To Watch

• The stock saw upward movement Thursday and Friday, pushing it higher and closer to pattern resistance.
• The stock will likely continue trading within the pattern for a time before it can cross resistance or support and see a breakout.
• The Relative Strength Index (RSI) has been moving up the past couple days and now sits at 65. This is nearing the overbought range that starts near at the 70 level on the indicator. There have been more buyers piling into the stock throughout the last week.

What’s Next For NRX Pharmaceuticals?

Bullish traders would like to see the stock continue to climb and break out of the pattern resistance. If the stock can break pattern resistance it may see a further bullish breakout. Then bulls would like to see the stock consolidate while holding its gains for potential further upward moves.

Bearish traders would like to see the stock fall and drop below the pattern support. This could mean that the stock is not ready to see a reversal and may continue to fall for a time before finding solid support again.