AIkido Pharma Inc (AIKI)

[investora2z]

SPEX moved from around $5.5 levels in the first week of February to around $14 in early March. It has retraced the move substantially but is still up by more than 75% from the lows. The retracement may be losing momentum now as the volumes are not very strong. The 10 day average (~7K) is still significantly below the 3 month average (10K). The downward moves are still not totally decisive. In any case, $10.50 will be a resistance now, and crossing that will be the first task for the stock. Then there is the $11.60 level. On the downside, $9.10 is the 50 DMA, and $8.44 is the 200 DMA. The retracements are also around these levels, and the $8.5 level will be important. The recent private placements in November 2012 were done around $5.5 to $6.5 levels (nearly one million shares and warrants). Further, the recent restructuring done by the company was with the objective of being able to concentrate more on its primary objective, “development and commercialization of innovative drug, medical, and food technologies, including food and nutritional technologies and supplements”. It may be recalled that towards the end of last year, the company sold all its stock in Spherix Consulting to Chromadex Corporation (CDXC). The divestiture of Spherix Consulting was also aimed to reduce overheads, and to concentrate on the identification of additional business opportunities. This increased focus and reduced cost will help the company become a purely drug development company. The progress on that front may, therefore, become faster. There were some positive reports on the drug development front recently. With drugs in the trial stage, and also in the pre-clinical pipeline, the increased concentration will increase the efficiency of the execution of its plans. The company is actively looking for funding from investors to support its long-term research and development endeavors.