Bristol-Myers Squibb shares are fractionally higher after the Food and Drug Administration approved a new drug application for an add-on targeted at adults whose major depressive disorder doesn't respond to monotherapy. BMY said the approval was based on 2 studies that indicated Abilify (which sounds like it was named by Stephen Colbert) significantly improved depressive symptoms in adults diagnosed with the disorder. Abilify, a dopamine partial agonist, is a joint development between BMY and Otsuka Pharmaceutical.
BMY has now eased off its highs of the day to trade just a hair's breadth above its 10-day moving average, which has provided resistance throughout all of November. The stock could get a lift as it consolidates into support from its gently ascending 20-month moving average. Unfortunately for BMY, though, option-traders optimism could work against the equity it's currently trading on the south side of 2 heavy accumulations of out-of-the-money call interest. The December 30 call is home to 60,487 contracts, and the December 32.50 call has open interest of 68,842.