Biotech stocks have a precarious life. A single negative drug trial can send the stock price into a tizzy and vice versa. While Peregrine Pharmaceuticals Inc. recently completed the review of its Non-Small lung cancer drug and consequently saw its stock price skyrocketing, the opposite happened in the case of Celsion Corp. (NASDAQ:CLSN) whose stock took a dive following its unexpected results from Thermodox. However, Celsion Corp. still has the potential to bounce back. Being a member of St Bulls give you the exclusivity to speak with an analyst today. So, sign now for free at
Celsion Corp. is currently reeling under the pressure of recent unfavorable results from the phase III trials of its drug candidate Thermodox. The drug is being developed for treating hepatocellular carcinoma. The drug's Phase III was started in 2008 and since then it has been the main catalyst for driving the stock price up. However, in January 2013, Celsion Corp. announced that the Phase failed to meet the endpoint, triggering a decline in stock price. However, it is too early to completely write off Thermodox. Get more insight about CLSN by signing up now at
On the positive side, the company still has enough cash reserves to cover its operating expenses through 2013. As per the demands of the situation, the company is also evaluating alternatives beyond Thermodox. A biotech stock is generally written off, when its research process is completely abandoned. Using this criterion, there is still hope for Celsion Corp. as the company is likely to go ahead with the drug trials. While its Phase III trial did not show the desired results, it reinforced the point that the drug is safe, which keeps the avenues still open for the drug. ThermoDox is also still being tested for Corectal Cancer and Breast Cancer. Talk to our analysts and get their take on CLSN by registering now at
The stock lost more than 80 percent of its value post-Thermodox fiasco. Technically, the stock looks weak at this point. Celsion Corp. is trading below its 5 days EMA of $1.63. It is also below its longer term 20 days EMA of $4.56, showing very bearish trend. Based on technical indicators, the stock may tumble down to $1.23 in the coming trading session. However, it is highly likely that the stock may see some relief rally. In such case, its first resistance level is at $1.67, breaching which the stock may even go as high as $2.57. Find out why we initiated coverage on CLSN before the masses do by registering at
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