So it’s my birthday and the gift that I’m giving myself is some shares of RTTR. Does it mean that this stock is gonna explode? Heck no. As a matter-of-fact, the fact that I’m getting older might actually be clouding my judgment. But let’s try to get me to block out my thoughts of creeping closer and closer towards the inevitable so I can share with you my analysis on why I like this stock so much.
#1: Divergence on Multiple Timeframes
The Weekly Chart has been coming way down to ~50c and now it’s ~90c. We are seeing solid bullish divergence on the MACD and TRIX.
Behold the intriguing Weekly Chart:
Since November 2017, we’ve seen the MACD and TRIX both strengthening even as the price dropped down to 50c. We have now had a rounded corner that looks a lot like a coffee cup and the bullish slope divergence also adds to the evidence that this price could continue its recent ascent.
As of April 3rd, the company’s shorts have been reduced by 15.7%. Ritter Pharmaceuticals, Inc is a specialty pharmaceutical company that develops novel therapeutic products that modulate the human gut microbiome to treat gastrointestinal diseases and is valued at $5.83 million. The company’s product, RP-G28 is designed to stimulate the growth of lactose-metabolizing bacteria in the colon, thereby adapting the gut microbiome to assist in digesting the lactose that reaches the large intestine.
In March, it completed ahead of schedule enrollment in its first pivotal Phase 3 clinical trial of RP-G28 for the potential treatment of LI, a study known as the “Liberatus” study (NCT03597516). Trial enrollment has surpassed expectations. 555 subjects were randomized, no single site enrolled more than 10% of the total population, 43% of sites enrolled at least 15 subjects, and more than 30 US sites participated in the study. No safety signals have been reported to date which continues to confirm the well-tolerated safety and tolerability profile seen in earlier clinical studies.
“We are encouraged and pleased to have achieved this important milestone ahead of schedule. The large number of patients interested in participating in the trial, highlights the clinical need for new treatment options in this patient population,” said Andrew J. Ritter, CEO of Ritter Pharmaceuticals. “We remain on track for the top-line data readout of the Liberatus study in early Q4 2019. As we near data readout and continue to build our commercialization strategy for RP-G28, we look forward to advancing our ongoing discussions with potential partners for the continued further development and potential launch of this exciting product candidate.”
I believe that the market was overdone to the downside and is finding its legs again perhaps at $2-$2.50. Will it ever get back to a lofty level like $35 again? Perhaps not for a long while. However, the market looks to be shifting from bearish to bullish and I think that we could at least see the share price double in the coming months.