(NOTE: Use daily chart then move to weekly to see my thesis)
SLRX
There is a strong sense of optimism for SLRX because of the PDUFA for Seclidemstat in P 1/2 Ewing Sarcoma trial this June 17, 2020. Most small bios like SLRX are typically driven by these types of updates, but it comes with a high risks that it may turn out it is not a good results. So, trade with caution.
Fundamentally SLRX has:
I did use technical indicators initially, but I've decided to use the fundamentals to trade. I took a very small position ($1500) to test if my theory and I can see two levels of upside (list below) if the PDUFA turns out to be great but an abysmal potential loss of 50%+. Fortunately, losing $700 is not even close to .05% of my tiny portfolio.
SLRX
There is a strong sense of optimism for SLRX because of the PDUFA for Seclidemstat in P 1/2 Ewing Sarcoma trial this June 17, 2020. Most small bios like SLRX are typically driven by these types of updates, but it comes with a high risks that it may turn out it is not a good results. So, trade with caution.
Fundamentally SLRX has:
- $9.65M as of March 31, 2020 and $9.1M available from CPRIT.
- 10.53M float.
- Probably would not dilute because they already did in Feb. 12, 2020.
- Meets and exceeds the listing requirements as of last Feb. 13, 2020.
- By looking at the list of institutional purchases in Fintel. I could see a lot of buys from different funds since Feb.
I did use technical indicators initially, but I've decided to use the fundamentals to trade. I took a very small position ($1500) to test if my theory and I can see two levels of upside (list below) if the PDUFA turns out to be great but an abysmal potential loss of 50%+. Fortunately, losing $700 is not even close to .05% of my tiny portfolio.
- at 1.98 to fill the gap
- at 3.02 because this was one of the strongest support if you look at the "weekly" charts.
To keep my sanity and be realistic on two of my exit points. I can see that $3.02 is likely (maybe 30% chance) because the candle on the weekly shows that the current uptrend is going to continue. Furthermore, I pondered why SLRX is very confident to post an 8K for the PDUFA date. I can only assume that they already have a good data and typically this happens if bios needs to issue more shares. However, that is the former is unlikely the cases since they already issued last Feb.
GLTA!
評論:
Gap has been filled today. If the results of the PDUFA at around 10:10-10:20am are good tomorrow, then we COULD potentially see a run up to $3.00. Anything more than that is I believe is a bonus. Often the run up goes above the resistance level at around lunch time if the stock has descent volume coming in.
So, please treat these stocks with caution using a magnifying glass when entering a trade and a VERY VERY disciplined WIN or LOSE exit strategy.