Sequenom, Inc. (NASDAQ:SQNM) Accumulates Trading Volume Before the Earnings Release

[[tagnumber 0]]Sequenom, Inc. (NASDAQ:SQNM) is supposed to release its first quarter earnings report this Wednesday and the company‘s stock seems to be gaining strength in the last two trading sessions. While analysts are not optimistic, the increased trading interest could support a jump of the share price today.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 3]][[tagnumber 1]] [[tagnumber 0]]Yesterday, SQNM closed with a small gain in terms of share value – up 1.31% to $4.65, however, the trading volume got even higher with nearly 2.5 million traded shares. A strong bullish pattern has now formed on the chart as the share price touched the upper band of the trading range. Technical indicators also suggest a break out of the trading channel.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 1]] [[tagnumber 0]]SQNM is a life science company and its only operating segment provides laboratory molecular tests focused on prenatal care. Last year, a few developments happened, along with an increase in revenues and a reduction in the net loss. The company sold out its Bioscience Business unit in May and in September it purchased some intellectual property for noninvasive prenatal testing.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 12]][[tagnumber 1]] [[tagnumber 0]]In fact, that business expansion initiated the current uptrend for SQNM stock which, however, could easily reverse. The latest annual report shows that SQNM is in an urgent need of cash for its operations as the losses have caused a stockholders‘ deficit. There is also significant debt as convertible notes outstanding that means potential dilution for shareholders if the company does not start making profits soon.[[tagnumber 1]] [[tagnumber 16]] [[tagnumber 1]]