Company Overview: Schrodinger Inc. (NASDAQ: SDGR) maintains a physics-based computational infrastructure for discovering molecules for medication development and materials applications. Veru Inc. (NASDAQ: VERU) is a biopharmaceutical company that focuses on developing drugs for treating hospitalised COVID-19 patients at high risk for acute respiratory distress syndrome. This Report covers the Price Action, Technical Indicators Analysis along with the Support Levels, Resistance Levels, and Recommendations on these two stocks.

Schrodinger Inc.

Technical Analysis:

After a short-term rally indicated by an upward slope trendline, SDGR's stock price experienced a minor correction that resulted from a negative divergence compared to the RSI (14-period) on the daily chart; however, the prices may trade in a range as long as the stock is trading above the previously mentioned trendline. In addition, the RSI is moving south from its neutral point, indicating a negative bias. The stock is trading below its 21-period SMA, which may act as a resistance level; in contrast, the stock's most recent low may act as a support level. 

Daily Technical Chart – SDGR

Considering the stock's current price levels forming negative divergence, supporting upward slope trendline, and technical indicators analysis, a 'Watch' recommendation is given on the stock. The stock was analysed as per the closing price of USD 26.10 per share as on 14 May 2023. Schrodinger Inc. (NASDAQ: SDGR) was last covered in a report dated '20 July 2021'.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest, taking into consideration the risk-reward scenario.

Veru Inc.

Technical Analysis:

The formation of nearly identical highs and higher lows in VERU's stock price suggests that the trading range may persist in the near future. In addition, the RSI (14-period) fluctuates between the midpoint, supporting a sideways to negative movement. Prices are trading below the 21-period SMA, which may act as a level of resistance for the stock; in contrast, the stock's most recent low may act as a level of support.

Daily Technical Chart – VERU

Considering the stock's current price levels forming a trading range and technical indicators analysis, a 'Watch' recommendation is given on the stock. The stock was analysed as per the closing price of USD 1.14 per share. Veru Inc. (NASDAQ: VERU) was last covered in a report dated '07 January 2022'.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest, taking into consideration the risk-reward scenario.

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: Investment decision should be made depending on an individual’s appetite for upside potential, risks, and any previous holdings. This recommendation is purely based on technical analysis, and fundamental analysis has not been considered in this report.

Note 3: Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.

The reference date for all price data, currency, technical indicators, support, and resistance levels is May 14, 2023. The reference data in this report has been partly sourced from REFINITIV.

Technical Indicators Defined:

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.

Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.

The Green colour line reflects the 21-period moving average. SMA helps to identify existing price trends. If the prices are trading above the 21-period, prices are currently in a bullish trend (Vice – Versa).

The Blue colour line reflects the 50-period moving average. SMA helps to identify existing price trends. If the prices are trading above the 50-period, prices are currently in a bullish trend (Vice – Versa).

The Orange/ Yellow colour line represents the Trendline.

The Purple colour line in the chart’s lower segment reflects the Relative Strength Index (14-Period), which indicates price momentum and signals momentum in trend. A reading of 70 or above suggests overbought status, while a reading of 30 or below suggests an oversold status.

Disclaimer

The advice given by Kalkine Canada Advisory Services Inc. and provided on this website is general information only and it does not take into account your investment objectives, financial situation and the particular needs of any particular person. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. The website www.kalkine.ca is published by Kalkine Canada Advisory Services Inc. The link to our Terms & Conditions has been provided please go through them. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations later.