Lexicon Pharmaceuticals, Inc. LXRX
Our first order of business today is to congratulate any of our readers who were able to turn our premarket alert of LXRX into hefty intraday gains.
We were given ample opportunity to do so, as a hugely significant PR left the stock positively charged for most of the session. A momentous intraday run began from an early low of 10.83 and topped out at an HOD of 13.80. That translates to a 27% jump, which is a very impressive single-session performance for a $10 stock.
If you recall, we hit this one from multiple angles; our options trading idea of tracking Weekly $10 Calls was also good for potential profits. Those contracts traded up from a low of 1.50 all the way to 3.90, which was good for gains of up to 160%
LXRX held the majority of its daily advance, which occurred on well over 30-times the 3-month average volume. That sets the stock up with plenty of momentum, and signals us to keep an eye out in coming sessions for a continuation of such. In the event that occurs, as far as options are concerned, we’d roll our strike price up to the Weekly $12.50 Calls, which already made a heck of a move yesterday from .45-2.00.
Hutchinson Technology, Inc. HTCH
We also want to give a quick update on HTCH, which we entered into the conversation via Friday’s premarket report. We witnessed the beginning of its run that day with a low of 1.60, and subsequent 22% pop to 1.95.
Yesterday, the stock set a new high of 2.25, which marked a two-day increase of 41% In order for us to remain interested in this play. we’ll need to see it continue to record higher lows.
Here are a couple of stocks trading in the triple-zero range that we thought were worthy of compiling into a potential bottom-play watchlist as we head into midweek. We’ll include charts for the pair illustrating the reasoning behind that:
Pervasip Corp. PVSP
B2Digital, Inc. BTDG
S, FIT($50-51 Weekly Calls), DAL, AAPL(Radar for Eventual Bounce)