GREY:DGCRF - Post by User
Post by
RetailRubeon May 13, 2010 8:14pm
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Post# 17097303
Dance with the Ugly Ones
Dance with the Ugly OnesMy new strategy for investing in Bio-Tech is working. When the stock I'm dancing with becomes pretty and everyone wants to dance with her, I let them. Then I take the money and go find one they've dropped. I often watch while the pretty ones' stock price and volumes soar higher than when I sold. Sometimes I think maybe I should buy back in. Then I remind myself "You've got to dance with the ugly ones."
I recently sold NPC (now 69 cents, up from 36 cents because they published good data on P2 trials). I also sold AEZ (now $1.96, up from $1.14 because they announced FDA go-ahead to do P2 trials).
I'm buying more of CUR and BNC. They are temporarily ugly and overlooked. But they too will be pretty some day.
My strategy has one other element: Invest in companies that announce stuff and ignore the weak price prior to the announcements. Don't try to prop up the price. Look at NPC: They issued a press release on good P2 results and then 3 weeks later published the data in a medical journal. Presto, two price surges. Or look at AEZ: They announced entering P2 trials. Only P2. BNC on the other hand is close to announcing P3a results but they can't buy a dance partner.
My recommendation on CUR is our time will come. We just need an announcement to supply the catalyst.