August was the month of the comeback kids. Cramer reviews what drove the biggest winners
CNBC's Jim Cramer noted that August was a month in which stocks previously hit by bearish narratives successfully rebounded.
To conclude, entry is recommended based on the stable stock price movement above the 20-day moving average support line and the upside potential toward the resistance level of 176.66. Over the past 7 days, candle data has shown an upward trend from the 150s to the 190s, and based on the RSI (14) of 68.2 and the bullish alignment of moving averages, a buy can be considered while confirming the rebound above the support line and the remaining upside potential.
To state the conclusion first, I will take profit near the resistance level of 176.66, and cut losses if the 20-day moving average support line collapses or if the price breaks below the stop-loss level of 53.71. The current share price is moving stably above the 20-day moving average support line, and while there is upside potential toward the resistance level of 176.66, the volume trend must be closely monitored.
The technical indicators at the entry point are as follows: the RSI (14) stands at 68.2, and the moving averages are in a bullish alignment (stacked in ascending order). Trading volume is at 0.61 times the 20-day average, and the volatility over the past 7 days recorded +5.3%.
Past similar successful cases include three instances involving MRNA. The first is the case on 2026-09-13, which recorded a return of 128.7%, driven by overlapping keywords of 'Moderna' and expectations surrounding cancer vaccine results. The second is the case on 2026-08-20, which recorded a return of 125.8%, where overlapping keywords of 'Moderna' and late-stage melanoma clinical trial results impacted the stock price. The third is the case on 2026-08-28, which recorded a return of 113.7%, where overlapping keywords of 'Moderna' and news of late-stage clinical approval for an mRNA cancer treatment served as the momentum.
To conclude, it recorded an actual return of 41.7%, significantly outperforming the projected return of 2.5%, and received an OVERHIT rating. While the initial direction was precisely correct—entering with expectations of upward potential based on stable support above the 20-day moving average, an RSI (14) of 68.2, and a bullish moving average alignment—it was a missed opportunity not to fully extrapolate the surging biotech theme news (which had increased to 66 articles over the past 7 days), the 11.9% S-Class conversion rate, and how much more powerfully the mRNA cancer vaccine late-stage clinical trial momentum, seen in past similar cases, would drive the stock price upward.
To conclude, when strong theme momentum and core positive catalysts overlap, we will allow for additional upside potential beyond our conservative target price and incorporate this adaptability into our next trading decisions. Technically, we will enter the stock once 20-day moving average support and a positive moving average alignment are confirmed. If this coincides with overall positive sector sentiment—such as an increasing trend in theme-related news and S-Class conversion rates—we will execute a strategy with a slightly more flexible profit-taking benchmark.