Molecular Medicine Spa hits 52w high but will it continue? – Stockopedia

It's a good time to be a shareholder inMolecular Medicine Spa (BIT:MLM): as the share approaches its 52-week high, holdersmay be wonderingwhether to sell and take the profit,or buy more and ride the uptrend.

Shares inMolecular Medicine Spaare currently trading close to a 52 week high, with the share price up by around2.75%to0.503over the past month.

For investors holding the stock (or considering buying it), the question is: what now?

52-week highs are a popular market indicator. But research shows investors can be left wondering what to do when it happens when a 52-week high is hit. Heres a primer on what the academic research says...

GET MORE DATA-DRIVEN INSIGHTS INTO BIT:MLM

52 week highs are always good news. But surprisingly, the prices of high performing shares can be slow to move when they publish positive earnings news.

Research shows thishappens because investors are cautious about bidding high performing shares any higher (even if they deserve it). Psychologists call thisanchoring. As humans, we tend to take our time when it comesto changing our opinions in the face of new information - even when it's good news.

This emotional tug-of-war often ends with the new high stock drifting higher in price over the coming weeks and months.The upward trend is called post earnings announcement drift. As the news sinks in, momentum takes over and the price moves higher.

A look at Molecular Medicine Spas StockReport could offer more insight into whats driving the momentum in its share price - and whether that might continue.

WithMolecular Medicine Spa trading close to its52 week high, its possible that investors in the market are uncertain about whether to buy, hold or sell it. This uncertainty can cause erratic pricing in the short-term before momentum takes over - and its worth considering this before making your own trading decision.

To find more stocks that are trading close to their 52 week highs, you can explore this constantly updated 52 Week Highs screen, which covers all the new highs in the market.

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Molecular Medicine Spa hits 52w high but will it continue? - Stockopedia