Healthscreen Solutions Incorporated (CVE:MDU) (PINK:MDUUF) had some very interesting changes in trading activity over the past three sessions but there is no indication for the reason behind it.
MDU added 133.3% to the share price under one of the busiest trading days of the past year. 2.9 million shares were traded during the lastest session, which was very significantly above the average of 319 thousand.
The stock still didn’t manage to break out of the downtrend which has 50 day moving average working as resistance.
There was no recent news that could have affected the share price this way either. The nature of the breakout attempt leads to think about short squeezes first. Intraday price action shows that most of the gain was secured over the first hour of the trading session along with the trading volume which later faded away.
This was the third day in a row when the stock generates exclusively large trading volumes, thus it already had the attention of traders before the big move. However, previous days didn’t have any price action to go along with the increased activity.
Because of the lack of proper catalyst the downtrend is very likely to resume. Even if the stock price would breakout above 50 day MA it would not hold for long in the current state.
