CBRX regained more than half of its prior day's massive loss as traders placed their bets

"Columbia Laboratories (CBRX) regained more than 60% of yesterday's loss as traders eager to bet on surprise panel outcome"

Only 2 days left until the FDA panel votes on whether or not to recommend Columbia Laboratories' (CBRX) preterm birth therapy for the agency's approval. The biotech company's stock has seen wild swings ahead of the panel decision. 


Yesterday, CBRX tumbled 54% after a briefing document, usually published  3 days before the panel meeting, raised concerns over the insufficient efficacy of the experimental drug. However, as mentioned in yesterday's blog post, CBRX was due for a bounce as traders favor the bet of a surprise positive outcome coming out of this Friday's meeting. As a result, CBRX regained more than 60% of what it had lost yesterday with more than 8 times the avg volume, finishing at $1.47 as of the end of today's trading.


It should be noted that the general consensus is still negative for CBRX and there may even be a chance to purchase cheap put options going into Friday if the stock keeps ripping higher. I will be watching this closely tomorrow. Alternatively, waiting for the potential 'slide' play on Monday is always a great strategy. Feel free to follow me on Twitter (@MichaelJuan01) for trading updates. Good luck!