This is classic short and distort SCAM. Check the history do your DD.
i wonder why??
Today, four biotech stocks caught my eyes and their price action are totally un-justified.
BDSI got their pain killer NDA approved, BFRM got their 501 cleared by FDA. Both stocks shot up after the news, but then retreated back to the level as if there are no good news at all. Call this sell on news?
On the other hand, HGSI and ABIO rallied without any news. Indead they are among the best performers of the day. IMHO, those two rallies totally are un-justified, more like a pump and dump game to me. HGSI key-Phase III is to be released monday morning pre-market, most analysts believe it will be a failure. ABIO drug is rejected by FDA last month and was asked to conduct more clinical trials to solve several issue. Yes, the cash is stll above the market capital, but unless the company liquidate itself and return asset back to investors, it still looks over-valued to me. Don't forget clinical trials are cash burning machine and all those money go away fast.
What can I say? The market is irrational and stocks look heavily manipulated. The current market sentiment definately doesn't favor biotech sector. But eventually, the price of stocks will reflect their real value.