Take a look at the total amount of shorted shares-1.3M total shorted shares in jazz. That covering will be eaten by jazz in the first 3 minutes of trading Monday. In fact, considering Friday ah and Monday pm there actually may be almost no shorts left. Because the pps isn't expected to stay in the $7 most shorts will not choose to go long with their shares. Meaning what? If there are no more shorts to cover who the hell is going to be buying???? Nobody that's who. That leaves one massive abyss this stock is hovering over. Add to it-
nasty general market
near unanimous rejection
Vvus collapsed to the $4's and remember they have $100M in cash, have a revenue stream, almost zero debt, a close panel decision, the stock is more popular and a their drug has a 15x larger revenue potential.
It's really not out of the question to see $2-$4 being jazz's new trading range Monday forward. I don't think people realize how bad it's going to get here. Put buyers will make a fortune. I say $2-$4 will be Mondays range. Call me nuts but i just don't see it any other way.
LOL, the diet drug(Qnexa ) was VVUS last shot but failed.
and Analysts downgraded stock to $2.
VVUS has ED drug but won't make money , VVUS has nothing left for survival! their cash is melting like a hot butter Q/Q and there's massive dilutions risk in the future.
VVUS in death spiral. don't buy unless hit $2 .
"If you dont think so then this must be your first biotech panel/pdufa."
Actually, I grabbed a HUGE profit from DNDN and SOMX during the past year. THE DRUG IS ALREADY FDA APPROVED! So it couldn't be that bad.
JAZZ will be fine. It will not go under $5.00...trust me. And once the REMS is adjusted, the FDA will approve for fibro. Man, do some research instead of just being a short trying to scare people.
I think you saw the lows. You should have covered if you shorted the stock. You're best chance will be right in the beginning of the day if any to cover on Monday.
Friday's reaction had to be the climax down. Everyone was waiting for the vote and it was a disaster. The panic was at it's peak on Friday. Monday, cooler heads will come out. That panel was just brutal!!!.
VVUS bottomed in the first 15 mins of trading just like JAZZ did Friday AH. i'm not so sure about the big fall. VVUS hasn't seen those lows since it's FDA decision.
Just an opinion...
I was following VVUS closely and it was just like JAZZ as it was getting all these favorable FDA predictions from all the idiot analysts and talking head gurus on various websites. As I posted here Friday, holding a bio into FDA decision day, long or short, is totally pure gambling. ONLY way to intelligently play a bio like JAZZ is to buy a few weeks before the FDA date as often times the stock will rally in anticipation.