Progress at the Lab Bench Doesn’t Equal Profits

Sep 17th, 2008 – Comment

The last 8 years for Bioniche Life Sciences Inc., BNC TSX, has really required an active trading strategy to capture what value was available at certain times. It hasn’t been a buy and hold stock.


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BNC has been selling off since 2004

The charts not generating a buy signal

I HAVE BEEN WATCHING A COMPANY IN MY HOMETOWN OF BELLEVILLE ONTARIO. THE NAME IS BIONICHE LIFE SCIENCES.
THEY ARE CLOSE TO FDA APPROVAL ON A BLADDER CANCER DRUG AND THEY HAVE A DRUG THEY ARE MARKETING TO FARMERS TO GIVE TO THEIR CATTLE TO STOP THE PRODUCTION OF ECOLI THROUGH THE COWS WASTE.THIS STOCK IS NOW SELLING FOR AROUND .49 CENTS. CAN YOU TELL ME WHY IT IS NOT A GOOD BUY?
THANKS,
PAUL

Hi Paul,

I know the company quite well, having first meet Graeme McRae in 2000. Having said that the last 8 years for Bioniche Life Sciences Inc., BNC TSX, has really required an active trading strategy to capture what value was available at certain times. It hasn’t been a buy and hold stock.

The stock has been selling off since 2004 so all the progress the company has made at the lab bench hasn’t turned into profits for investors. The charts not generating a buy signal. I often get asked when will a stock start going up and the simple answer is when it stops going down. The Best time to buy a stock is when its going up and looks to continue that trend.

The other thing to keep in mind Paul is that the story may be better than the stock and you can’t trade the story so don’t fall in love with a story cause as we know love stinks!

Happy Capitalism!

Categories: Biotechnology
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