Overheard on StockTwits: Cycla-SELL and @adamfeuerstein to the Rescue

Posted by Howard
on January 21st, 2010

Yesterday while observing the StockTwits stream we noticed a really interesting conversation happening around $CYCC.

At 12:14 PM, @oktobernv pointed out that $CYCC was spiking on news that it would appear in the New England Journal of Medicine

Awesome Street.com Senior Biotech Columnist @adamfeuerstein was quick to put this rumor to bed:

The StockTwits stream jumped on this information and began shorting the stock:

Finally @adamfeuerstein published an article and put the rumor to rest and the stock begins to sell off.

Just when you thought it was over, today $CYCC announces a secondary (conveniently on the back of that rumor):

This whole $CYCC saga shows the value of StockTwits. If you look at a chart below and compare it to the timestamp of @adamfeuerstein‘s tweets, there was plenty of time to take advantage of his expert information (and many people did).

It also shows how the biotech world is a very shady place with false rumors being announced prior to secondaries hitting the market. If you trade in these names its a good thing to have a few people you trust on StockTwits like @adamfeuerstein to help you out.

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