Category: Daily Report

Blue Horseshoe Stocks: LPCN Recap, LPDX & More

Lipocine, Inc. LPCN

LPCN served up an opportunity at some decent intraday gains after appearing on yesterday morning’s extended watchlist.

The stock played out a classic dip and rip scenario, falling to a morning low of 6.89 before surging back in the afternoon to a subsequent high of 8.42. That offered traders a chance at intraday gains of up to 22% on plenty of liquidity- the stock would trade 23.5X its 30-day average volume.

The productive session came on the heels of the company announcing favorable results from Phase-3 clinical testing of “LPCN 1021”, its oral treatment for low testosterone >>> VIEW PR

LipoScience, Inc. LPDX

LPDX is gapping up heavily in the premarket, and the interesting story behind it is one that we’re definitely going to want to give our close attention. Early this morning, the company announced that it was the subject of a buyout that would be executed at a share price of $5.25. Barely an hour later, another PR hit the LPDX newswire, concerning an investigation of the managerial board’s handling of the deal, and whether or not they have secured the best possible buyout price.

According to the investigative firm leading the case, “The $5.25 per share acquisition price is far less than where the stock has recently traded. In fact, on January 25, 2013, LipoScience stock opened for trading at $9.75 the day the Company sold 5.0 million shares of stock in its initial public stock offering.” >>> VIEW PR

The playing out of this scenario is going to be an interesting story moving forward, which is why we wanted to flag LPDX this morning, and fill everyone in on this morning’s happenings. The possibility that the investigation could lead to a potential restructuring of the buyout is enough to have us keep our ears to the tracks on this one for the foreseeable future.

Magnum Hunter Resources Corp. MHR

MHR is another morning gapper that we’re putting on our radars. This morning Magnum announced impressive throughput volumes on its “Eureka Hunter” gas gathering pipeline. According to the CEO, “increased capacity has resulted in a record day of approximately 316,500 MMBtu of natural gas”. >>> VIEW PR

Options Trading Idea: PBR Calls 

We’re interested in the PBR October 31st $15.50 Calls  last traded at 1.88. If we can see PBR make its way back to recent $20+ highs within a month, it could put us in position to see returns of up to 150-200% on those contracts.

Extended Watchlist:
 RNN, MNKD, CNET, VHC, MPET

Blue Horseshoe Stocks: MACK, RITT, BIGG & More


Merrimack Pharmaceuticals, Inc. MACK

We’ve got MACK, a play that has been on our watchlist before, bringing itself to the forefront today as news about a licensing agreement has the stock gapping up to the tune of 20% in the premarket. We’re going to be interested to see how it comes out of the gate this morning in response to the announcement.

Baxter International Inc. (BAX) and Merrimack Pharmaceuticals, Inc. (MACK) today jointly announced an exclusive license and collaboration agreement for the development and commercialization of MM-398 >>> GO TO PR

RiT Technologies, Inc. RITT

Another gapper, RITT is also up significantly in premarket trading this morning. The stock had a strong session yesterday, trading in a range from 1.28 – 1.97 on exceedingly heavy volume; more than ten times the monthly average, so we are looking at it for potential momentum carryover into today.

Given the nature of the yesterday’s activity, we could also be looking at a possible dip-and-rip scenario as inevitable profit-taking pares back the share price.

Big Tree Group, Inc. BIGG

BIGG was actually passed along to us awhile back by one of our subscribers. (Readers should feel encouraged to share any ideas you might have with us!) Since then we’ve had the stock on the back burner, passively following along until it was ripe for the picking. We began to see some positive movement off of the bottom yesterday, so we think now could be a good time to flag this play for more intensive monitoring.

Added Note – Options Trading Idea

GTLS was the subject of a buyout rumor yesterday, which effected some upwad movement in the stock. As a result we just want to radar the October $65 Calls, which last traded at 1.50.

Extended Watchlist:
LPCN, ICLD, BBRY, BBBY, SINO

Blue Horseshoe Stocks: CNET Recap & More

ChinaNet Online Holdings, Inc. CNET

CNET made an excellent move following its inclusion in yesterday’s morning report, as the stock would go on to trade in an impressive range from  a low of 2.41 up to a new annual high of 3.98 on nearly 34x its one-month average volume. The strong 65% intraday run came in the first hour of trading, so folks had the chance at some very rapid, very substantial gains. Congrats if you were among them!

Direxion Daily Jr Gld Mnrs Bear 3X ETF (JDST)

We introduced JDST as a way to leverage against the falling prices of gold yesterday, and it’s working out in our favor so far. This ETF didn’t waste any time Monday morning, as it began a morning ascent that would last all day and carry it from a low of 14.65 to 16.88, a modest yet solid gain of 15%

We’ll have our eyes on this one for as long as it appears that the dollar will continue to strengthen.

OTHER ITEMS OF INTEREST

Our scanner yielded three interesting plays with news out of varying subjects.

NXT-ID, Inc. NXTD, has a mobile wallet product that they bill as the truly the first universal secure payment solution, which, as it does not require a smart-phone, provides certain advantages over other eWallet-type products now being pushed by Apple (ApplePay) among others. The stock made a significant move in yesterday’s trading, and will be on our radars today. >>> Shareholder Update PR

China Jo-Jo Drugstores, Inc. CJJDreleased financials yesterday and received a warm reception from traders. Some of the highlights included:

  • Online sales contributed $2.6 million in revenue, an increase of 103.5% from the comparable quarter of prior year
  • Retail sales, which includes online sales, accounted for approximately 80.0% of total revenue, and increased by $2.3 million, or 20.7% year over year to $13.2 million
  • Wholesale, which accounted for approximately 20.0% of total revenue, decreased to $3.3 million from $4.4 million for the same quarter of last year. >>> VIEW FULL PR

Synthetic Biologics, Inc. SYN Earlier last wee the FDA granted orphan drug status to SYN’s monoclonal antibody (mAb) combination, “SYN-005”. After a period of consolidation off of the initial run that produced, the stock is gapping up in the premarket today, so we’ll definitely want to keep an eye peeled.

Extended Watchlist:
OTIV, NETE, NVAX, USAT

Blue Horseshoe Stocks: JDST, CNET, TTMI & More

Direxion Daily Jr Gld Mnrs Bear 3X ETF (JDST)

JDST, for those of you who may not be familiar, is a bear index for gold, which has been taking a pounding over the past couple of months, as world economies have seen a general pickup.

Many analysts are predicting a protracted bearish run from the precious metal, for instance Goldman Sachs has forecast gold to decline to $1,050 an ounce this year. Still others believe a trip to sub-$1000/oz prices is in the cards.

Should gold continue its downtrend, JDST is one way to leverage against that, so we’re going to have this index on our radar from this point forward. It could stand to see further increases while investors are turning to other classes of assets which are currently boasting healthier returns.

TTM Technologies, Inc. TTMI 

TTMI is hitting our scanners this morning as a potential bottom play. The stock made a run toward the end of Thursday’s session, and spent the day Friday under general consolidation where it came down to bounce off of support at 7.28 in the last hour of trading.

We’ll be keeping an eye in the activity here today, on the heels of this morning’s news of an acquisition that will make the company one of the world’s leading manufacturers of printed circuit boards.

COSTA MESA, Calif. and ST. LOUIS, Sept. 22, 2014 (GLOBE NEWSWIRE) — TTM Technologies, Inc. (TTMI) (“TTM”) and Viasystems Group, Inc. (VIAS) (“Viasystems”) today announced the execution of a definitive agreement under which TTM will acquire all outstanding shares of Viasystems >>> FULL PR


ChinaNet Online Holdings, Inc. CNET

Another stock that popped up during this morning’s scan falls more under the category of a momentum play; CNET made a big move on Friday, and from the looks of things we should be on the lookout for some of that activity to carry over into this week. The stock is presently gapping up in the premarket, and as always when we see this scenario, we are open to the possibility of seeing a potential dip-and-rip on the chart.

The company also announced today that it had won recognition at yesterday’s Chinese eCommerce Industry Gateway Conference in Beijing:

BEIJING, Sept. 22, 2014 (GLOBE NEWSWIRE) — ChinaNet Online Holdings, Inc. (CNET) (“ChinaNet” or the “Company”), a leading B2B (business to business) Internet technology company providing online-to-offline (O2O) sales channel expansion services for small and medium-sized enterprises (SMEs) and entrepreneurial management and networking services for entrepreneurs in the People’s Republic of China, announced today that the company won the Best Company in Chinese Entrepreneurial SME Business Development Marketing at the 2014 Chinese e-Commerce Industry Gateway Conference. >>> FULL PR

PBR Options Trading Idea

Also, for a quick options trading idea to kick off the new week, we have possible interest in the October 3rd $16 Call, which closed at 1.29 on Friday.

Extended Watchlist:
TATT, DSS, RSH, CLX

Blue Horseshoe Stocks: VTEQ Report

VeriTeQ Corporation (VTEQ)

We’ve got a new interest to present this morning that is catching our attention for a number of reasons. VTEQ, in addition to being in a good place on the chart with regard to upside potential (more on that in a minute), operates in an interesting market sector.

The company develops proprietary RFID (Radio Frequency Identification) technologies for use in implantable medical devices. It’s rare to find a development-stage company like VeriTeq which has an established product line in this arena, and that’s another reason why we think running across the stock at this stage of the game could end up working in our favor.

Not including those in future plans for development, VTEQ has two primary technologies of note:

Q Inside Safety Technology –  Last year the FDA issued a “Final Rule” on Unique Device Identification (UDI). Under this rule, each medical device must be labeled with a unique device identifier, and the labeler must submit information concerning each device to FDA’s Global Unique Device Identification Database (GUDID).

VTEQ’s Q Inside Safety Tech uses an FDA-Cleared Passive RFID chip for UDI in everything from medical implants to artificial joints.  It allows medical professionals to use a handheld scanner to access device data quickly and efficiently  (i.e. serial number, lot number etc.) which could save lives in the event of device recalls. According to a press release out on Tuesday, more than 1000 women worldwide have already received breast implants which implement the product. >>> READ PR

RFID Dosimeter Technology – Radiation overdose is a very real threat associated with CT scans and radiation therapy, and VTEQ’s Dosimeters address that risk directly. By reporting and recording the radiation levels being delivered to a patient in real time, this technology also has life-saving potential. The dosimeters are available in implantable and external versions (pictured below)

These technologies are designed to work with VTEQ’s Informatics and Data Analytics platform currently under development, and are indicative of the medical profession’s move to digital record-keeping which has been taking place over the past several years.

CHART COMMENTARY:

Fortunately, operating in an interesting market sector isn’t the only thing drawing us to VTEQ; the chart is in a good position with what we feel is significant upside potential. The stock is oversold, yet it has been recording higher lows off of its recent bottom. A breakout from here is definitely a possibility so we’re going to have VTEQ on close watch:

FROM THIS WEEK’S NEWS FEED:

For More Information on VTEQ and its Technologies Visit:
www.VeriTeqCorp.com

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