The Biotech Trader Lounge

[gambler2075]

I cashed out my AFFY today for another 11% profit (bought at 6.30 this time and sold today at 6.95).

I poured all my years short term gains into one of my largest microsoft plays... 160 Jan 2013 $22.50 calls for $3.75 each. This is in preparation for a run later this year and I may be $0.25 to $0.50 too early depending on Greece. that is the nice thing about the biotech stocks..they couldn't care less what Greece or Europe does.

Nice! The way to play markets that are flat is to buy low, sell high :P
AFFY prolly goes back to 6.30 again, for the nineteenth time, lol

I agree, bios don't care too much about Greece, which is why I like them too...

g

Edit: Just to clarify for the non-option trading majority of SA,

Each 'Call' is a contract for 100 shares. So if calls are trading at 3.75, each contract costs 375$... So if someone traded 160 contracts, that means he put on a position of 375$*160 = 60,000$

Not sure how big your trading account is, but a profit of 60,000$ in half a year ain't too shabby

[KTP]

I cashed out my AFFY today for another 11% profit (bought at 6.30 this time and sold today at 6.95).

I poured all my years short term gains into one of my largest microsoft plays... 160 Jan 2013 $22.50 calls for $3.75 each. This is in preparation for a run later this year and I may be $0.25 to $0.50 too early depending on Greece. that is the nice thing about the biotech stocks..they couldn't care less what Greece or Europe does.

[gambler2075]

I call bounce time on ACUR at 3.79... has had a nice rundown from the 6.80 high after approval. Target would be 4.30-4.50 ish. Looks to be double-bottomed... no position.

g

Opened at 4.41 this morning, after PTIE rejection (expected that one, ACUR and PTIE make similar products)

Hope y'all took profits, 10% in a day is nothing to sneeze at.

g

Edit:

2011 YTD realized profits: 329,000$
2011 YTD unrealized loss (open positions): 35,000$

Kinda scary to think about the fact that it all hinged on the XNPT trade... if it had gone the other way I would be looking at a 200,000$ YTD loss...

[gambler2075]

PTIE down to 5.30's premarket, from 9.24 close yesterday...

Yahoo! Message Boards - Pain Therapeutics Inc. - PFE/ACUR News Release Was at 7:30AM EST

oops, someone lost 30,000$ overnight... reminds me to never hold through a PDUFA unless it is a CRL re-submission and you have other signs that it is going to be successful.

g

p.s. hehe, just to be clear, btw that 'someone' was not me :P

[gambler2075]

Yep, FDA (Shelly Burgess) confirmed it 30 seconds ago.

g

[gambler2075]

DRRX and PTIE apparently get a CRL, at least that is what one pretty reliable source says. No PR yet.

g

[KTP]

I have never seen a buyout after FDA approval... the pumpers are always calling for it (AMRN buyout at 25 (when AMRN was at 18)) but it is just a bunch of BS.

g

I know! Everyone always talked about Avanir getting bought out but nothing came of it. I did make almost 100% gain on that stock recently trading the $2.50 options. I got really lucky buying them at $1.00 to $1.20 and selling them all at $2.05. Almost got back in the other day but am scared of the market right now.

[gambler2075]

The options are really thin on ACUR. I'm waiting and watching. Any chance Pfizer would just by them or have you examined the deal terms?

I have never seen a buyout after FDA approval... the pumpers are always calling for it (AMRN buyout at 25 (when AMRN was at 18)) but it is just a bunch of BS.

g

[Slug]

The options are really thin on ACUR. I'm waiting and watching. Any chance Pfizer would just by them or have you examined the deal terms?

[gambler2075]

I call bounce time on ACUR at 3.79... has had a nice rundown from the 6.80 high after approval. Target would be 4.30-4.50 ish. Looks to be double-bottomed... no position.

g

[Slug]

Tomorrow my AFFY options expire worthless again *fingers crossed* Hopefully by another quick run to 7 so I can sell'em again.

[facebookdigg123]

i am a huge bagholder in cvm -_-

[KTP]

The call options expired worthless. A couple of days later AFFY is back over 7 and I've sold them again. I like having a low priced range-bound stock that I really don't care about owning. If I get called, I can just buy some more when it goes back down again.

I know it is not a biotech but I did the same thing you are doing with Nokia

I bought 2000 shares at 6.50 and later in the day sold Oct $7 call options against the shares for $0.60 each. Kind of like AFFY, I don't really care about owning the stock, but the downside is pretty limited at 6.50 (would have to drop to 5.90 before I lose money on the trade now).

AFFY was down a bit today. I might get back in again if it dips to my usual buy price ($6.15). The stock trades like an ATM machine.

[mcfroggin]

Look for Generex to hit it big.

[Slug]

I was able to sell my covered AFFY calls this morning. Locked in a reasonable gain and 10 days for it to fall back out of the money. A good day indeed!

The call options expired worthless. A couple of days later AFFY is back over 7 and I've sold them again. I like having a low priced range-bound stock that I really don't care about owning. If I get called, I can just buy some more when it goes back down again.