NTRA is a medical diagnostics company that makes DNA blood tests to help doctors detect health problems early. This includes cancer, pregnancy complications, and organ transplant issues, often before symptoms appear. Chart-wise, the stock is attempting to leverage a long trading range — a similar scenario to IHI discussed last week — though the pattern here is noticeably larger. Indeed, there have been plenty of whipsaws since its strong uptrend ended at the start of the year. Over the last few months, however, momentum has improved, and we can see a clear progression of higher lows and higher highs developing. Thus, the stock could be getting ready to take the next step and break out. If it can, the measured-move target would be near 263, with a stop loss at 203. Bigger picture, going back over the last three years, it's clear that the stock has been in an uptrend for the majority of that period, with its strongest advances occurring after bouncing from the uptrend line shown. Each of the four prior tests of that line produced immediate upside follow-through, with some rallies lasting for months before the next consolidation phase began. With NTRA only a few weeks removed from another successful test of that trendline, it could still be in the early stages of yet another multi-month advance. As the chart shows, the bounce from last summer eventually carried the stock back to a key resistance area in the fall of last year. That breakout ultimately completed a multi-year bullish pattern, and its upside target was eventually achieved. If NTRA can now break out from the pattern shown on the daily chart, a similar move could develop, potentially pulling the stock back toward its prior high and, if the longer-term trend remains intact, beyond it, as well. Relative to the XLV Healthcare ETF, NTRA has done a good job of outperforming the sector ever since this ratio bottomed in late 2022. As the chart shows, it has also consistently broken out of consolidation patterns from a relative-strength perspective, with those breakouts versus XLV leading to meaningful upside follow-through. While the ratio remains well below its late-2025 highs, continued relative strength would be an encouraging sign. If NTRA can maintain its pattern of outperforming XLV, then this ratio could eventually work its way back to those prior peaks and ultimately push to new relative highs, as well. —Frank Cappelleri Founder: https://cappthesis.com DISCLOSURES: None. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, or its parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
