Akorn continues its bullish trend in order to test new highest level.

From a fundamental viewpoint, the niche pharmaceutical company is strong. It has recently acquired Xopenex Inhalation Solution from Sunuvion Pharmaceuticals. Moreover, the Thomson Reuters consensus revised regularly upward EPS estimates of the company for the current year. The great business predictability emphasizes the quality of this investment in the mid-term.

Technical patterns are in the green: prices are up for several months, following an upward trend line. The movement should continue in the coming trading sessions. The 20-day moving average (upward oriented) should help to cross the USD 44.4 long term resistance.

Therefore, taking into account the strong fundamentals and technical patterns, it seems opportune to place a buy stop order above the current resistance at USD 44.4 to benefit from a possible breakout. The target price will be then USD 49.00. A stop loss will be placed at the USD 41.95, threshold that would invalidate this trading strategy.