Three Diverse Plays from the 7-17 Trading Session

Today we highlight three of the stocks highlighted by our system’s analytics yesterday.

Today’s blog looks as two big-gainers and one solid short from the 7-17 market day.

Our most profitable trade opportunities from the day stemmed from thee different types of news:

  • FDA approval of a promising (and lucrative) new treatment.
  • A major financial restructuring.
  • Poor financial results compounded by a reverse stock split.

1.  Aeterna Zentaris (AEZS): 46% Gain on an FDA Announcement

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On Tuesday, the US Food and Drug Administration announced that it had accepted the application of AEZS’s drug, Macrilen, for use in treating growth hormone deficiency in adult patients.

Macrilen, a “an orally-active small molecule that stimulates the secretion of growth hormone,” would have a substantial long-term market among adults with chronic hormone deficiency. Application acceptance is the first step on the road to FDA approval.

The stock staged an impressive rally on this news, gaining well over 40% in less than 24 hours.

1.  Pedevco Corp (PED):  Investors Jump on News of a Financial Restructuring – Up 29%

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Energy company Pedevco (Pacific Energy Development Company) announced next steps a major financial restructuring. They will convert substantial quantities of outstanding debt to equity, and subsequently invest $12 million in additional liquidity.

Today marked completion of investor due diligence of the plan, putting the restructuring on track for approval by August 31. The deal is expected to give the firm a capital injection necessary to develop its shale-gas assets.

The completion of due diligence represents the conclusion of the assessment by Netherland Sewell & Associates, major industry consultants and experts in gas asset evaluation

They have confirmed the viability of PED’s assets, leading investors to buy to the tune of nearly 30% .

1.  Dryships (DRYS): Profitable Short on an Ugly Reverse Split – 29% Losses

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Dryships, an owner of ocean going cargo ships worldwide, was forced to announce a reverse stock spit at a 7:1 ratio. In a move designed to bolster a flagging stock price, every seven shares will be converted to one, with fractional holders being cashed out.

Investors took the news, which takes effect July 21, as a sign of a bearish future for DRYS. The stock is down almost 30% in less than 24 hours—a great short opportunity for NewsQuantified users. Meanwhile, the move has already provoked a class action lawsuit—likely to pile on the downward momentum over the next 30 days.

Try A Free Training Today: Dozens of Plays, Everyday

Our analytics based on yesterday’s news revealed a diverse array of potential trades. These gains stemmed from financial restructuring, regulatory news, and disappointing financial results. And each day brings dozens of new strategies to pursue.

NewsQuantified isn’t a single trading strategy. It’s a tool for making thousands of potential trading strategies, previously accessible only to big hedge funds, accessible for smaller investors.

Our system makes it simple to follow the news and match events with strong trading opportunities. From there, it’s simply a matter of noting whether the price impact is upward or downward.

Click here to sign up for a free training today. You’ll see how easy to use our platform really is—and how many profitable trades it can unlock.

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