Wednesday, March 10, 2010

AVXL Updated

AVXL was written up on March 3rd at $2.85:

A move above $3.00 would bring create a lot of open sky on the upside.  On the other hand, the stock is bumping up against massive 12-month's worth of resistance here.  You think this game is easy?  Call this one right.

Missing element is volume here, but the cost of waiting for higher volume might be a higher entry price.  Faith comes with a side of risk (or vice-vesa?).



Anonymous said...

with so many biotechs having huge spike days (e.g., today FACT), we should ask ourselves is biotech a leading or lagging indicator? Or also is this another sign of hot money pump & dump?

(note: this is not to imply that biotechs are not good to trade, just asking big picture questions vis a vis overall market tenor) said...


Have you ever looked at ONCY? This stock would appear to be up your alley. Biotech - up 60% since end of January. Cancer drug using Reolysin.

"In 2009, we executed on our business plan focused on preparing the Company for late stage clinical testing and ultimately commercial launch by making substantial clinical progress, strengthening our intellectual property position and balance sheet, and scaling up manufacturing to near commercial levels," said Dr. Brad Thompson, President and CEO of Oncolytics. "Our focus in the year ahead will be on advancing our first Phase 3 trial, which we expect to begin in the second quarter."

Glenn (former GTR member)

Anonymous said...

Allan, thanks for the email on NNVC at 2:20 pm today (eastern). The explanation of the three charts helped a novice like me.

Anonymous said...

The Beatles - With A Little Help From My Allan

quodcumque dixerit vobis facite

t said...

I suppose its logical to wonder at some point, whether a sector is becoming a "bandwagon" when the mass of sheeple investors 'discovers' it is moving in a direction.

Last year,the biotech sector was shifting into a higher gear,especially the stem cell companies,like ISCO,

Now,its beginning to seem like the common investor folks are jumping onboard all biotech.

Individual companies live and die,win or lose based on their FDA approvals,trial results,etc.
So its always a company specific,development specific issue whether a biotech stock gains or loses.

In that sense,the biotech sector will always involve selective picking based on a company's fundamental story.

and this is what is happening in the story with AVXL.

As described by my newsletter advisor..... the latest news is about two companies.

One which has failed dramatically.
The other one is the champion left standing.

The story is about development of Alzheimer drugs.
The loser in this story is Pfizer....whose drug trials (and in fact,the entire research direction of approach to alzheimers)failed with a big crash.

That leaves the winner standing strong with the most advanced development ongoing,test results far surpassing anyone else so far,and now in the front of the pack as the champion horse to ride to the finish line..... thats AVXL.

When this latest round of news hit the fan,this is what has caused the pop in AVXL,as it should.

The question now for investors is....watching AVXL to see if it corrects anywhere reasonable in order to get in on it, or else to jump onboard the train which left the station a few days ago.