Many times we use technical analysis in stocks which have for whatever reason been temporarily beaten down. Innoviva, Inc. (INVA) is one such stock (commercializes pharmaceuticals) which is still down well over $6 per share from its January highs. Shares though appear to have spent the majority of March bottoming out and the recent rally has finally turned up the 10-day moving average. The question now is whether the bottom is in.
We would still be cautious here though. One could classify both bottoms in March as a potential double bottom reversal pattern