Curious what others thoughts are here as I look at the pop THRX made when the buyout offer came. THRX shot up to $42, but is now trading in the $36 range. Is the lesson, as so often is stated, sell on the news? If an offer comes in for TSRX as many of us are hoping and anticipating, does one sell on that pop? What is the strategy on how to play it?
You're talking takeover - that's the end game. However, remember that once an offer is made, that is typically the bottom unless TSRX management turns it down and a second bid is not forthcoming (common sense). So get a price in your head and if the offer hits or exceeds it, then sell; otherwise hold.
Hawk, I am in THRX avg 26PPS.. Short term it should go to $50 soon and will go much higher later in December with their second product.... I have a solid position here at TSRX in the mid 5s.. No plans to sell. holding long.. I see TSRX beyond $20 easy. GO TSRX!
Bart has the right idea. Sell 1/2 into the news but know this.
WCRX. The day that Activis announced talks about acquiring WCRX the stock shot up like a rocket. I shorted it and had to run for the hills because it never came back down.
They don't always behave that way. Just read the tape. If it gaps and fades sell it. If it gaps and continues Hold. I'm still trying to learn these plays myself. I'm about 70% right. Still working on my trading strategy.
Look at VTUS daily chart today. Somebody woke it up. It has some interesting info on the chart today. Will the ascending triangle prove true. We are always learning and with technology out now some set-ups are ruined because people know they are coming, if that makes sense.