Elite Pharmaceuticals Inc (OTCMKTS:ELTP) traded sideways for the second consecutive day as it closed at the end of the last trading session with a gain of 2.13%. The proximity of the final closing price $0.288 and the day open $0.291 created a Turning Top candle pattern on the daily chart, indicating the indecisive mood of the investors at this point of time but that may be resolved by the end of the week. The chart attached clearly shows a major supply area around $0.33 and that zone is capable of pushing the price down and keeping it inside the long term range.

After posting remarkable double-digit gains last Wednesday, Elite Pharmaceuticals Inc (OTCMKTS:ELTP) finds no blocks in its way up on the chart. On Friday, the shares jumped another 3% to close the week at $0.244 and after yesterday’s green session, the stock is trading close to $0.290.

The buzz

The company released a PR last week, which was seen as the major trigger to start the positive ride in ELTP stock. Elite Pharmaceuticals revealed positive top-line results from its Phase 3 trials for its leading opioid abuse-deterrent candidate, ELI-200, formulated to cure moderate to severe pain.

The details

The issued data highlights that that the study compared the groups administered on ELI-200 and placebos and found proof of statistical significance of pain relief. Also, the PR informed the shareholders that the company intends to forward a NDA to the U.S. FDA in 2016. Apart from this press release, Elite has failed to come with other filings and PRs. The last report was released in August 2015 and highlighted the financial numbers of the three-months ended June 2015.

The performance

Elite recorded strong set of numbers in its latest report, supporting recent gains in ELTP stock. As per the last financial report for the three-months ended June 2015, the company posted cash reserves of $11.6 million. The revenue came at $7 million while the current liabilities stood at $3.3 million. Elite announced that income from operations was $2.5 million in the quarter.

Elite’s bottom line performance came inflated due to a positive change in value of derivative liabilities totaling to $13 million. However, even without it, the company posted strong set of financial numbers. This financial report was later followed by Form-4 filings, which unfortunately failed to give any useful information to shareholders. Elite Pharmaceuticals will release its next financial report in November.