Momentum Players

[langlui]

ARNA hit a 22 month high Monday at $7.15. Next stop is $7.55. The price was $3.89 before the big pop on 5-10-2012.

http://seekingalpha.com/article/650261-get-monday-s-bulls-edge-on-6-strong-biotechs?source=yahoo

2. High-Risk Arena (ARNA)
At Friday's $6.62/share close, going into its FDA decision for Lorcaserin on 27 June, short-term traders could jump in and jump out for a modest $7-8/share target. But this is a high-risk situation. If bad news comes (perish the thought!), the stock could plummet to $2 in a heart-beat. On great news, I perceive $10/share as the lowest minimum upside. Should it be approved as the first weight loss drug in a long time, it wouldn't surprise me to see market sentiment drive it to $30/share or higher. Valuation aside, market sentiment plays a big role here. Stocks rarely trade on the metrics of value alone; they also trade on market sentiment. If Lorcaserin is approved, look out.