Kyle Dennis of BiotechBreakouts.com like Synergy Pharmaceuticals Inc. (SGYP) based on a drug for irritable-bowl syndrome that he thinks has a great shot at getting FDA approval late in January. Dennis likes the stock for purchase below $2 per share, although he said the stock is currently consolidating and he plans to wait for that sideways move to finish before making a purchase; that said, he will buy shares below $2 most likely within the next 10 days, setting a top loss at about $1.60. His upside target is $3 per share on a play that he expects will last no more than a month because he plans to sell out — even if the target isn’t reached — by the end of the first week of January ahead of the news announcement which is due later in the month but which could be released up to a few weeks early.
Kyle Dennis is a catalyst – and events-based trader who runs BiotechBreakouts.com. He had no shares, options or open orders in either SGYP when this interview was recorded on Nov. 27, but had the stock on his watch list and anticipated buying it in the $180 to $2 range in the next week to 10 days, as described in this conversation. The Raging Bull podcast features experts from the site talking with Raging Bull editor Chuck Jaffe on his show, “Money Life with Chuck Jaffe.” You can learn more about Chuck’s daily hour of market and personal-finance chat at MoneyLifeShow.com; you can subscribe to the Raging Bull podcast via iTunes and other podcast providers.