ReShape Lifesciences ($RSLS) Up 68% Yesterday but Down Today

Key Takeaway
1. ReShape Lifesciences (RSLS) stock rosed on Wednesday on an U.S. Food and Drug Administration (FDA) update.

2. The company got a PMA supplement for its Lap-Band 2.0 FLEX. That news brings with it heavy trading of RSLS shares.

ReShape Lifesciences (NASDAQ:RSLS) stock is rosed higher on Wednesday following approval from the U.S. Food and Drug Administration (FDA) for a PMA supplement. That PMA supplement applies to the company’s Lap-Band 2.0 FLEX. This is the company’s minimally invasive, long-term treatment of obesity.

What This Means for RSLS Stock
Improvement of its weight loss product is a positive for ReShape Lifesciences. The FDA approval also puts its product closer to market, which could mean more revenue for the company.

With this news comes heavy trading of RSLS stock. As of this writing, around 50 million shares have changed hands. That’s a massive leap in trading volume compared to the company’s daily average of about 4 million shares.

Despite the rapid 68% Rapid Surge, RSLS plummeted in price with the stock trading at 0.3614 (-5.98%) as of the time of writing.
If RSLS should test the Support level at $0.2990, we should expect a continual trend or a reversal trend.