22nd Century Group Inc (XXII)

[jockinmikeg]

Interesting to note how quickly XXII could turn around on just a simple positive response from the FDA alone on the modified-risk application, revenues notwithstanding.

Another low-floater biotech play that I am in has increased 160% in two days and is up 65% today on just a positive completion of pre-clinical procedures and affirming of the FDA's timeline alone. Much like this play, that play has a large short interest and has been absolutely obliterated recently due to perceived investor delay of catalysts. Now it has recovered two months of losses in 48 hours.

Almost exactly same number of O/S here and there. We actually have a smaller float (43m < 53m) and a stronger EPS by tenfold, which could produce a similar parabolic move. We were trading right around the price they were before the giant push. XXII already has positive clinical data from independent trials for smoking cessation w/their modified-risk products.

Just goes to show that perceived investor silence does not always equal lack of fundamental progress.

Nice buying support at $1.60. Old small cap movers are gaining momentum into January as tax-loss season draws quickly to a close and we finish the last full trading week of 2014 today.

Shorts and longs alike seem to feel this is a comfortable zone to buy.