Salarius Pharmaceuticals Plummets 20.85%: What's Behind the Sharp Intraday Slide?

Summary
• Salarius (SLRX) opens at $1.13, plunges to $0.8415 intraday, closes at $0.9498
• $7M public offering priced at $1.50/share sparks investor skepticism
• Merger with Decoy Therapeutics hinges on offering completion
• Turnover surges 127.76% as short-term bearish momentum intensifies

Salarius Pharmaceuticals (SLRX) has experienced a dramatic intraday collapse, shedding 20.85% to trade at $0.9498 as of 17:44 EST. The stock’s sharp decline follows the announcement of a $7 million public offering priced at $1.50 per share—well below its previous close of $1.20—and a pending merger with Decoy Therapeutics. With a turnover rate of 127.76% and a 52-week low of $0.8415 now within reach, the sell-off reflects heightened volatility and uncertainty around the company’s capital-raising and strategic moves.

Public Offering and Merger Uncertainty Trigger Sharp Sell-Off
The intraday selloff in SLRX is directly tied to the $7 million public offering announced on November 11, 2025. The offering, priced at $1.50 per share (a 20.8% discount to the previous close of $1.20), has raised concerns about shareholder dilution and management’s ability to execute the proposed merger with Decoy Therapeutics. The merger’s completion is a prerequisite for the offering’s closing, creating a feedback loop of uncertainty. Additionally, the stock’s 52-week low of $0.8415 aligns with the intraday low, amplifying bearish sentiment. High turnover (127.76%) and a negative RSI of 11.77 suggest oversold conditions, though the lack of immediate catalysts beyond the offering and merger speculation leaves the move’s sustainability in question.

Technical Deterioration and Strategic Entry Points in a Volatile Biotech Play
• MACD: -0.7396 (bearish divergence from signal line at -0.4909)
• RSI: 11.77 (oversold territory, but lacks immediate reversal signals)
• Bollinger Bands: Current price ($0.9498) near lower band ($0.8086), indicating extreme volatility
• 200D MA: $1.9617 (far above current price, reinforcing bearish bias)
• Support/Resistance: Key support at $0.7018–$0.8263; resistance at $3.876–$3.9484 (unlikely to be tested)

The technical landscape for SLRX is dire, with a short-term bearish trend and long-term ranging pattern. The RSI at 11.77 suggests oversold conditions, but without a clear catalyst for a rebound, the stock remains vulnerable to further declines. Traders should monitor the 200-day moving average ($1.9617) as a critical psychological level; a break below $0.8086 (lower Bollinger Band) could trigger panic selling. While no options are available for analysis, the absence of liquidity in the options chain underscores the stock’s speculative nature. Aggressive short-term traders might consider a bearish bias into the merger’s resolution, but caution is warranted given the stock’s proximity to its 52-week low.

Backtest Salarius Stock Performance
Key findings:• Frequency: From Jan-2022 to 17-Nov-2025 SLRX registered nine daily plunges of at least –21 % (close-to-close). • Short-term bounce: Median path shows a sharp relief rally: +6.6 % on Day 1, +14 % cumulative by Day 5, with statistical significance on Days 1-6. • Fade thereafter: Gains reverse after Day 6 and turn negative; by Day 30 the average trade is –22.5 %, under-performing buy-and-hold by c.10 ppts. • Win-rate falls from 56 % on Day 1 to <25 % beyond Day 21, indicating a brief oversold pop followed by continued draw-down.Practical takeawayA tactical “dead-cat bounce” trade (buy the close of the −21 % day, exit 3-5 trading days later) historically offered the best risk-reward. Holding longer than one week erodes returns.Interactive resultsI have prepared a full event-study dashboard (entry/exit curves, distribution plots, per-event drill-downs). Please open the module below for details.Feel free to explore specific events or modify the holding window, and let me know if you’d like further analysis (e.g., intraday lows, stop-loss rules, or comparison with peers).

A High-Risk Rebound or Further Decline? Watch These Levels
SLRX’s intraday collapse reflects a confluence of capital-raising skepticism and merger uncertainty. While the RSI suggests oversold conditions, the stock’s technical indicators (MACD divergence, Bollinger Band proximity) favor continued downward pressure. Investors should prioritize risk management, with key levels to watch: a breakdown below $0.8086 (lower Bollinger Band) could accelerate the sell-off, while a rebound above $1.13 (intraday open) might signal short-term stabilization. Meanwhile, Amgen (AMGN), the sector leader, has risen 2.12%, highlighting broader biotech resilience. For SLRX, the path forward hinges on the merger’s completion and the offering’s reception—both of which remain unresolved. Act now: Set stop-loss orders below $0.8263 and monitor the 200D MA for potential reversal cues.