This Tuesday, the GSK share price is off intraday lows but remains a tad lower despite the inking of a new $1billion deal between GlaxoSmithKline and Arrowhead Pharma.
The deal is for an exclusive licensing agreement to see GSK develop and market Arrowhead’s investigational treatment for non-alcoholic steatohepatitis. The deal is expected to close in Q1 2022 and will see GSK pay $120million to Arrowhead as an upfront commitment.
GSK secured authorization for its COVID monoclonal antibody treatment candidate Sotrovimab from the FDA in May. A $1billion deal with the US government for the supply of the drug has also been signed. However, this news is yet to rub off on the GSK share price as of writing.
GSK Price Prediction
The bulls have initiated an intraday bounce off session lows, but the price remains below the 1528.2 resistance (18 August high). Another lower close below this level keeps the bias for a run towards 1497.2 (7 September high). A further decline opens the door towards 1470.4 and 1450.0.
On the flip side, only a break of the 1528.2 resistance clears the obstacle to a recovery that will target 1551.4 initially. A further ascent will aim for the 11 November low/16 November high at 1580.0. Clearance of 1598.4 opens the door for the attainment of multi-year highs at 1616.8.