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Strategies & Market Trends : Underexposed Canadian Stocks

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To: Underexposed who wrote (41)6/8/2018 5:18:15 PM
From: Underexposed2 Recommendations

Recommended By
bull_dozer
WalterWhite

   of 65
 
Ok...now that that trade is complete I will explain why I like this penny (by Canadian standards) so much.

Theralase Technologies inc. [TSXV:TLT] [OTC Mart:TLTFF] Yes, Americans have access to this company through the OTC mart. Here are the 2 trigger charts side by side



You can see that the two charts track each other. The price difference is due to the exchange rate diff between the US and CDN dollar.

Another difference is the volume of shares traded per day. The company is Canadian and they entered the USA market through the OTC for 2 reasons.

1. the price of the shares is low
2. this is the easiest way for a Canadian company to enter the American market.

You will notice that the volume traded for the American shares is usually an order of magnitude less than the Canadian shares. Today for example TLT.V traded 851k shares when I last looked whereas TLTFF traded 58.7k ... less than a tenth of the Canadian shares.

This is because American investors don't generally look in the OTC for investment opportunity.

Theralase has passed Phase 1b testing... but it was NOT under FDA it was under Health Canada... so it does not appear on FDA lists of clinical tests hence it has not generally come under American investment radar. However it has passed Phase 1b testing with flying colors.... not only did the 6 patients tolerate the procedure and were safe in the process...ALL PATIENTS are now in remission from the Non-muscular Bladder cancer NMBC.

The Phase 1b testing has been cut short and they are now in discussion with Health Canada and FDA for protocol for Phase 2 testing.

Once it is on FDA clinical lists it will get a lot more exposure to the American investor and once that happens and they learn of the story of this company and its Bladder treatment... then there should be a great rise in price.

But I am getting ahead of myself.........

Let me start at the beginning (I have held this stock for over 12 months so far).

In May of 2017, a friend of mine wanted my opinion on a biotech stock that he had recommended to him. It was Theralase Technologies TLT.V

I told him that I was not a great fan of Biotech stocks especially researchers into Cancer treatment... they seemed a dime-a-dozen... but I told him I would look at the stock and offer him my opinion.

Imagine my excitement (not) at seeing the stock was worth about $0.36 per share... yeah I have seen several like this before.

I first looked at their website.... I have looked at many stocks in this price range and been underwhelmed by the look and content of their site. Here is a link to the Theralase site.

Theralase Tech Inc website

Well!!! I was impressed
. It is very professional and loaded with content. I spent over an hour looking at the content.

It clearly discusses the problems of Bladder Cancer treatment... how there was only 1 semi-positive treatment... if that failed there was nothing else to try.

It describes its approach to Bladder cancer...not in hand waving pseudo science terms but in clear scientific terms but reduced jargon... At the time I was looking at this company they had completed rat studies of their procedure and cured the rat of bladder cancer....hmmm.

Here is a video where they described what they did. It not only describes their treatment but also discusses the limitations of its competitor.

presentation on Theralase Bladder cancer proposed treatment

Now this was pre-clinical trials and is about 30 mins long.... but I watched it all. I was a chemist in my working life and I was impressed with the openness and professionalism shown in this presentation

this page describes Photodynamic cancer therapy

photodynamic chemical cancer treatment

I took a look at the Theralase team... is this just a small group headed by a guru somewhere??? You judge!

Theralase research team

Are you kidding me? I was stunned by the talent devoted to this project and at Princess Margaret Hospital too... a prestigious cancer hospital in Toronto.

I was liking this stock, the more I researched it

So I decided to look at their financials

Here is their latest financial statement

1Q2018 Financial Statements

Consolidated Financial Statements September 30 2017

The company loses money but it does have revenues... that is due to the sale of medical lasers. You cannot expect a small company to generate profits while it is in Clinical trials... but usually a research company have little or no revenues at all

So I am pretty excited about this stock I have made several large purchases of this stock over the last year. I have yet to make any money but if it goes over $0.46 I will start. I think though there is a huge future for this stock especially after the very positive Phase 1b trial and the listing on FDA trials to come.

Good Trading

UE

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Disclaimer:

I am not a registered broker. I am retired and use Technical Analysis as the main tool in my investment decisions. Accept or reject my comments as you will, but do your own Due Diligence (DD) before making any decisions based on the information I provide.

Underexposed
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