These two are moving too fast

Just a quick update on the two stocks I was talking about lately. Both of them are moving almost vertically shortly after I mentioned them.


One is Alexion (ALXN), a biotech that got hammered after both CEO and CFO were fired due to concerns related to their marketing practices. Here is what I said on Dec 16: So based on the technicals and fundamentals, I’m willing to bet for an upside run for ALXN in the next few months at least. I entered my positions already a few days ago and it indeed recovered a bit by now. It may still struggle for a while in the very near term but I think it is at its bottom for this round of correction. Well, it turned out that I was too conservative as Alexion has had a moon run over 20% up in less than a month. I think this is probably a lot to do with short squeeze when people followed the herd to short ALXN en mass when everyone was dumping. As of now, while ALXN long term technical is still very bullish, it is quite overbought at the moment and is due to come down first.


The other one is even more "scary", the uranium play with URA. Just in one week since I talked about it, URA has gone up 21% and it is truly a vertical straight line up. For sure it is widely overbought to the extent that it has never been so overbought in the past 5 years. Don't chase it. We are now seeing a typical herd behavior at the top, a panic buying that people are suddenly afraid of being left behind and want to get on board in rush. These are the people who will be shaken out first when a correction is coming, which will for sure come. Remember what I said, If it can hold up around $13 and further move up, it may indeed mean a gigantic turnaround for uranium may have started that will likely last for years to come. I cannot say for sure yet if the multiple year bull run has started as we need to see if URA won't give up all the recent gains and come back below $13. But I'm confident that the bull train may have left the station and you will certainly have good chance to get on board with much better prices if you are patient!