Breakout Signals Gain Momentum Across Time Frames
Since the bottom of the bearish correction was established in early April 2025 at $18.92, completing an 88.6% Fibonacci retracement at $18.85 of the prior upswing, VKTX has traded within a range capped by the $43.15 high. The range further narrowed heading into May. Range compression was also reflected in the convergence of three major moving averages, including the 20-day, 50-day, and 200-day moving averages. Subsequently, several key upside breakouts were confirmed in June, including moves above a prior lower swing high and the 200-day moving average.
On a monthly basis, the breakout occurred above a six-month high of $39.99 on the strongest volume in four months, and VKTX finished June at its highest monthly closing price in 20 months. In recorded the highest monthly closing price of the entire consolidation phase. That is confirmation of strengthening on the higher time frame.
Healthy Pause Could Strengthen Breakout Potential
In the near-term, a pullback or consolidation before another breakout attempt would establish a more reliable launch pad for a significant breakout. As of Tuesday’s high, VKTX had advanced 57.6% from the most recent higher swing low of $27.16 set in June 11 over just 16 days. Moreover, previous measured moves within the consolidation formation indicate that the current advance may be due for a rest. Whether that pause comes first or buyers generate enough momentum for a near-term breakout above the long-term resistance zone will likely determine how the next phase of this developing bottom unfolds.
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Source: Original Article
