Faron Pharma (LSE:FARN) 25/02/2020

#Gold #SP500 As we snuffle through the cold & flu season, it was interesting to note those shares which proved resilient, despite market wide hysteria apparently prompted by Coronavirus. We covered #Faron last November (link) and their share price has managed the opposite of catching a cold. Equally fascinating, reading “the common cold” is just one of the grouping covered by the word coronavirus, a respiratory term!

Of course, this means the current outbreak of sniffles in our part of Scotland is now described by schoolchildren as “coronavirus”, wanting face masks and preferably some time off school too…

A quick glance at Faron’s update on 6th Feb gives a potential reason for their current flamboyant share price, the word “coronavirus” popping up in the 3rd paragraph, attracting interest like politicians round a photo opportunity.

From the point at which the share closed (320p), we can calculate 396p as possible on the current cycle with secondary, if exceeded, coming in at 416p. Obviously, the proximity of these numbers tends suggest the potential of some stutters making themselves known. Longer term, we can even calculate 559p as possible but, to be fair, we’re on a bit of a wing and a prayer with such a price level.

Presently, the price needs break Red on the chart to spoil enthusiasm, this innocent line presently at 222p. Moves below risk a challenge of 180p with secondary, if broken, down at 51p.

We mentioned recently the dangers of wild price swings, making stop loss levels almost impossible on flamboyant shares. We need to mention, politely, the unpleasant reality of Faron as the share price is currently trending in a zone with “bottom” at 220p. It will not approach long term safety until the price manages exceed Blue on the chart.

FUTURES

Time Issued	Market	Price At Issue	Short Entry	Fast Exit	Slow Exit	Stop	Long Entry	Fast Exit	Slow Exit	Stop	Prior
10:27:59PM	BRENT	55.74									Success
10:36:21PM	GOLD	1660.22	1651	1642	1626	1672	1690	1703.75	1720	1672	Success
10:39:37PM	FTSE	7129									Success
10:42:18PM	FRANCE	5754.2									Shambles
10:52:42PM	GERMANY	12993									Success
10:57:18PM	US500	3228.42	3210	3183	3173	3254	3266	3283.5	3307	3224	Shambles
11:01:21PM	DOW	27975									Success
11:05:39PM	NASDAQ	9079.24									Shambles
11:09:27PM	JAPAN	22287									‘cess

 

24/02/2020 FTSE Closed at 7156 points. Change of -3.34%. Total value traded through LSE was: £ 7,457,826,437 a change of 17.05%

21/02/2020 FTSE Closed at 7403 points. Change of -0.44%. Total value traded through LSE was: £ 6,371,450,688 a change of 1.87%

20/02/2020 FTSE Closed at 7436 points. Change of -0.28%. Total value traded through LSE was: £ 6,254,655,479 a change of 11.64%

19/02/2020 FTSE Closed at 7457 points. Change of 1.29%. Total value traded through LSE was: £ 5,602,530,865 a change of -6.87%

18/02/2020 FTSE Closed at 7362 points. Change of -0.96%. Total value traded through LSE was: £ 6,015,855,072 a change of 44.99%

17/02/2020 FTSE Closed at 7433 points. Change of 0.32%. Total value traded through LSE was: £ 4,149,027,770 a change of -24.37%

14/02/2020 FTSE Closed at 7409 points. Change of -0.58%. Total value traded through LSE was: £ 5,485,879,910 a change of -17.68%