There is absolutely nothing wrong with taking profits.
And there is no one on Earth who can sell at the exact high or buy at the exact low. No one has a crystal ball.
Again, sorry if I seemed arrogant. My apologies for the wording.
Here are some takeaways:
1. "Sell into strength."
2. "As is usually the case, the best price upon news releases such as this is during pre-market, when market exuberance is at its height."
I'm sure you already know about item #1. Not so sure about item #2. Put those two together, and that's how the trade came about.
I'm sorry if I offended you. My apologies.
Take some time to read through my post again. There are some things to be learned from it.
I didn't say it was "material news," just news indicating an ongoing relationship with the FDA.
Your interpretation may vary.
The wording of the PR was just a bit too vague to be compelling, IMHO. That's why I sold into strength in pre-market this morning, when market prices usually reflect the euphoria of news the most.
The PR this morning in no way indicates to me that they are closer to finding a suitor. In fact, it could be viewed that no suitors have been found, since there is usually a news blackout period during negotiations?
I'm now sitting on the sidelines waiting for another re-entry point. Moved my proceeds of my sale this morning into ZIOP at an average PPS of 11.12.
This is clearly good news from the FDA, but also news around which you can trade.
As is usually the case, the best price upon news releases such as this is during pre-market, when market exuberance is at its height.
Clearly, this news will help the company going forward. But just as clearly (to me at least), it indicates to me that the company is not truly close to finding a suitor within the next week (and likely a bit longer).
So, it was a nice opportunity to sell into strength, only to buy back later at lower prices.
If I'm wrong, shame on me.