Regeneron Pharmaceuticals: The Epitome of a Pullback Stock

Have you been trading the market for the last week? If so, did you have a
plan, or were you just chasing big moves?

Last Friday, the Dow Industrials fell 300 points, only to rebound nearly 300
points on Monday. That’s a 600-point travel range in just two days. Volatility is
a dangerous and downright frightening market force; one minute you’re hitting
homeruns, and the next minute, you’re sending out applications for a new day
job.

Despite the recent crazy market action,
PowerRatings (for Traders) has remained consistent in finding high
probability trades, and making those opportunities accessible to the everyday
trader. If you don’t have a PowerRatings subscription,

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to start your 7-day free trial.

Let’s take a look at what we consider the best PowerRatings (for Traders)
trade that occurred over the last week. Regeneron Pharmaceuticals
(
REGN |
Quote |
Chart |
News |
PowerRating)
has
gained 15% over the last five trading sessions, and had a PowerRating (for Traders)
of 8 before making the big move. Regeneron is a biopharmaceutical
developer of therapeutics to treat human disorders.

Let’s take a look at the previous two weeks of daily charts for Regeneron. We
can see that the stock slid for several sessions prior to 8/1/2007. This
pullback, along with the stock hitting our other proprietary conditions prompted a
high PowerRating of 8, suggesting it was likely
to outperform the S&P 500 over the next five days. REGN went on to gain +15%
over the next five sessions.

PowerRatings (for Traders) are a proprietary stock
rating method which ranks stocks on a scale of 1-10. The higher the rating, the
greater the one week historical gain has been for stocks with that rating. This
rating system can help traders outperform the market over the next one to five
trading days.


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