The Biotech Trader Lounge

[gambler2075]

I am not bold enough to go short on the market, but I am sitting on over $150,000 cash for a few more days. I do feel like I am getting itchy though....Greece just seems to keep hanging in there....come on, either default and let me buy some cheap stocks, or sell the Parthenon to China and get out of debt so we can get some normal markets.

Sold some positions to raise some cash, here's the screenshot on the smaller account.



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[Slug]

Sold some positions to raise some cash, here's the screenshot on the smaller account.



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Show-off

[KTP]

Another bear raid today on Avanir! (AVNR)

lol

That stock gets so much manipulation it is fun to watch. No position in it now, but I did double my money off the options on it recently, so I have some fondness for it as a moneymaker.

I really wonder where it will go long term selling a $20 drug for $5500.

[gambler2075]

Show-off

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p.s. some crazy trading action on AVNR, I gotta do some snooping around to see what happened today.

Edit: Looks like there was a paragraph IV filed, which means that there might be some generic competition trying to enter with Neudexta...

Paragraph IV Patent Certifications

[gambler2075]

The macro trader I know is starting to go short the market... he is starting to buy TZA at 35.5 (partial position) after buying TNA at 68 and selling at 79...

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He is now fully short, via TZA at 34.6. We'll see.

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[KTP]

p.s. some crazy trading action on AVNR, I gotta do some snooping around to see what happened today.

Edit: Looks like there was a paragraph IV filed, which means that there might be some generic competition trying to enter with Neudexta...

Paragraph IV Patent Certifications

So any company can file a paragraph IV on a newly approved drug?

Seems like a good way to make money. Short a drug company, then file for generic on their approved drug. No matter the outcome of the filing, make money on the short position.

I think drug patents get the shaft compared to other IP. A company can spend hundreds of millions doing all of the required studies and trials, then someone else can come along and start selling a $20 version in a few years.

[gambler2075]

So any company can file a paragraph IV on a newly approved drug?

Seems like a good way to make money. Short a drug company, then file for generic on their approved drug. No matter the outcome of the filing, make money on the short position.

I think drug patents get the shaft compared to other IP. A company can spend hundreds of millions doing all of the required studies and trials, then someone else can come along and start selling a $20 version in a few years.

Well, AVNR will probably file a motion, or injunction, or whatever it is called, to protect Nuedexta for 30 months. And there will be a spike on that, but the question is, how long will it take for that to happen?

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[gambler2075]

He is now fully short, via TZA at 34.6. We'll see.

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He's hurting a bit... but I may start a position in TZA at end of day. 33.28 now.

we'll see.

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[KTP]

boy are we starting to look like fools. I predicted msft was going up, acted on it, and then sold out way too early. I then had the clever idea to sit on all this cash while mr. market just keeps climbing higher.

Oh well.

[gambler2075]

boy are we starting to look like fools. I predicted msft was going up, acted on it, and then sold out way too early. I then had the clever idea to sit on all this cash while mr. market just keeps climbing higher.

Oh well.

How much would you have been up if you sold the MSFT calls now? this is on a 60K$ investment, right?

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p.s. I'm wondering when the pre-4th of july profit taking is going to start... IMO traders might want to sell to protect their profits on this past runup, in case some kind of disaster/terrorist event happens in the next 4 days.

[Slug]

I'm with you, but it's an hour from close and the trajectory is still up, not even flat. Too frothy for my tastes.

[gambler2075]

Now short, via TZA, 33.37. We'll see. More of a swing trade.

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[KTP]

Now short, via TZA, 33.37. We'll see. More of a swing trade.

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I am short Chipotle July $310 puts at $3.70. I think I got them at the low (high price of the day for the stock) but they are only good for 14 days so really a swing trade. Even a teeny bit of negative news on this "priced for perfection, PE 52 fast food stock" will cause it to go back under $300 and I could see a 400% gain.

Anyway, only did 5 contracts lol.

[gambler2075]

'splain something to me about PTIE.

Market Cap: 148.77 mil
Total Cash: 98.48 mil
Total Debt: 0
Stock price: 3.42
Cash per share: 2.24

Book value per share only 0.87??? why?

maybe the market figured it out now... 4.64 now... wish I had 3.39 shares, lol

Pain Therapeutics, Inc.: NASDAQ:PTIE quotes & news - Google Finance

[KTP]

maybe the market figured it out now... 4.64 now... wish I had 3.39 shares, lol

Pain Therapeutics, Inc.: NASDAQ:PTIE quotes & news - Google Finance

Dang that would have been a nice trade.

My Chipotle (CMG) play blew up and I sold my $3.70 puts (5 contracts) for $3.40 yesterday...thank goodness, because today they are trading for $1.50! No worries because I made it up and then some with a one day trade of April 2012 microsoft $24 calls (bought 50 at $3.00 yesterday, sold today for $3.25). Facebook using Skype may have been some of the reason for the slight run, but it could have just been a precurser to earnings.

CMG $325 just pisses me off for some reason. PE 55 seems crazy, but I decided you can't fight stupid, and the market sure is stupid.

Back in my little corner holding cash for awhile.