Hi bbruin. Speaking of volume, for anyone who is trying
to time SGNC based on potential news releases, volume
increases, etc here is another loose comparison to
the ENMD example.
Everyone is well aware of how ENMD woke up one day
and jumped from 12 to 80 on volume of 12 MILLION shares.
It then settled back to 60 in 1 day ... and is now back
around 30. Here is the ENMD chart. For daily price
and volume data, simply click on the chart itself:
nasdaq.com
You can see, in looking at the volume leading up to
that big day, there wasn't even the slightest indication
that something big was about to happen:
notice the 6 days prior to the big day show an average
volume of approx. 25,000 shares:
date price volume
05/06/98 31.125 6,575,200
05/05/98 43.125 9,068,500
05/04/98 51.813 23,527,700
05/01/98 12.063 19,100
04/30/98 12.000 15,000
04/29/98 11.750 29,000
04/28/98 11.750 17,300
04/27/98 11.938 57,000
04/24/98 12.375 14,700
My point is NOT that this is what will happen with
SGNC. I am simply trying to show that increasing
volume in the biotech sector is not always the best
indicator that something big, pricewise, is about to
happen.
A week or so ago, someone came on SGNC thread
suggesting that a better way to SGNC would be to
try time price increases. I am definitely not going to
be doing that based on the way I believe that SGNC
will react when the time is right. When that time is ...
nonone knows. But I don't want to be on the sideline
if and when it does.
Cheers
Mike |
