The market is looking to open up down over 400 points on the Dow Jones this morning due to the expanding of the coronavirus news this weekend. This week is likely to be a very volatile one due to the coronavirus and that a ton of large cap companies have earnings. Just to name a few: Apple, AMD, Tesla, Amazon, Microsoft, Facebook, and General Electric.
That means that the market is likely to make humongous swings. That could lead to gigantic returns on the options if you are on the right side.
Biotechs have been on fire! Short term 1-3 day swings is where the money has been at for the last few weeks, but given the situation in China and the “risk off” environment entering the markets as we get into earnings season – I think it’ll be time to be a bit patient now.
Catalyst Swing Names (1-4 week holds) that I am watching
Acasti Pharma (ACST)
Catalyst Dates: Phase 3 data due Mid-February (first trial failed)
Buy Zone: $.50 to $.60
Profit Zone: $.75 or higher
Stop Zone: $.51 or below
Millendo Therapeutics (MLND)
Catalyst Dates: Phase 2/3 data coming likely in March
Buy Zone: $7.50 to $8.10
Profit Zone: $9.00 or higher
Stop Zone: $7.10 or below
Jounce Therapeutics (JNCE)
Catalyst Dates: New Phase 1/2 cancer dated to be presented on February 6th
Buy Zone: $6.00 to $6.50
Profit Zone: $7.00 or higher
Stop Zone: $5.75 or below
Rockwell Medical (RMTI)
Catalyst Dates: FDA Approval date of March 28th
Buy Zone: $2.30 to $2.50
Profit Zone: $2.90 or higher
Stop Zone: $2.10 or below
22nd Century Group (XXII)
Catalyst Dates: Advisory Panel on February 14th
Buy Zone: $1.00 to $1.10
Profit Zone: $1.50 or higher
Stop Zone: $.90 or below
Dynavax (DVAX)
Catalyst Dates: Possible european CHMP decision coming in January
Buy Zone: $5.50 to $5.80
Profit Zone: $6.00 or higher
Stop Zone: $5.45 or below
Lannett Company (LCI)
Catalyst Dates: Possible FDA approval coming Early 2020
Buy Zone: Below $8 (wait)
Profit Zone: $9.00 or higher
Stop Zone: $7.25 or below
