So much for coming in this morning with load of cash on hand. I’m just thankful that there is no “surprise” news on $AMRN that I’ll be deprived of a reasonable re-entry from zero position. As luck will have it, I only have to pay a small premium to buy back my core position plus more for swing trade.
Take a look at the daily chart below:
I like the fact that price action has taken out the high of July 2013 at $6.20. On top of that, price action also took out the 79sma as well as the 89xma. If price action can maintain momentum, we may have a rally toward the October FDA Advisory Committee meeting that most investors (myself included) are expecting a slam-dunk “clear ahead” for the December FDA decision on approving Vascepa for the mid-trig (200-500) population. Of course, you also have Adam Feuerstein who holds the opposite opinion of $AMRN getting a nod from the FDA. Who do you believe?
Don’t believe anyone; but believe only on your own research. Read up on the FDA approval process if you are not familiar with it. You will find that it takes a very long and expensive road for any company to get a prescription drug approved by the FDA. $AMRN has come a long-way and it is now knocking on the door of FDA for the mid-trig (200-500) level. Have you seen any other competitors offering the same thing? Even if there are, they are still a long way before knocking on FDA door. Recent purchase of Omthera by AstraZeneca ($AZN) is an example.
Yes, I’ve been on the wrong side of the track for quite a while with $AMRN but I believe the road is now heading on the right direction. Nevertheless, at this point, I’m watching $AMRN as an intermediate-term trader instead of a die-hard buy and hold investor. In other words, I’m not married to the stock so to speak.
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