As we have previously communicated, going forward we will be making announcements regarding significant public biotech trading opportunities via substack ALERT special posts. This will focus primarily on the major market moving biotech events and will likely be centered around data readouts from the major scientific conferences as well as potential regulatory approvals.
We will not offer trading advice (and we do not hold any publicly traded biotech equity), but rather flag emerging events that will likely materially drive stock prices (sometimes +/-100% in either direction).
This week we highlight a particular biotech stock with a setup we do not commonly see. One thing we can be sure of is that this catalyst will create volatility. (see below for details)
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HOW TO PLAY BIOTECH APPROVAL/DATA READOUTS ANNOUNCEMENTS
While biotech equities will move on news of announcement, often if there is high conviction in a positive read, a large run up ahead of the news will occur and the actual event turns into a sell the news event. Sometimes, investors wait for the actual event to make a long/short decision. And obviously if the news is disappointing (more often than not) the stock will tank.
This is not financial advice so you will have to make your own call on how to best play these events.
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