Wednesday thought on $DMRC, $IBIO, $BIOC, $AKAO, $ARTH

Today down day only proved that the resistance from the downtrend line is quite formidable to overcome.

SPY_DailyThe bad news is that all other momentum indicators are now beginning to turn south from the upper level.  Potentially, we are seeing a correction being formed.  However, since there is still the 15 MA support below, price is still in the trading range which give the bull plenty of times to gather its energy to have another go to make new high before the year is out.

$DMRC corrected a bit more today.  My take is that price is taking a break from the recent strong rally before the next leg up.  Yesterday news “Hedge Funds Are Betting On Digimarc Corp (DMRC)” might have explained the recent rally that wouldn’t give up.  Whatever the shorts did back in late October created opportunity for buyers to buy in.  Thus, instead of scaring the long to unload on that fateful down day, the shorts action actually created opportunity for bargain hunters to jump in.  Recent short interest report showed that the shorts have not covered but instead increased their short position.  If only the shorts will spend a few moments to look forward to where Digimarc is heading…

The way I see it, the technologies behind the Digimarc solution could not come in a better time than now.  With the proliferation of smart phones and customers’ desire to see more information on the products before buying, the only way to match the ease of online shopping is to make the product information available as a click of a button inside the store.  To do that, Digimarc barcode is the next best thing for this to happen.  You point your camera to the product on the shelf and you get your information.

The conventional barcode has revolutionized the retail shopping landscape, now it’s time for the Digimarc solution to take the barcode concept to the next level in order to allow technologies to transform the retail landscape to commensurate with the smartphone phenomenon sparked by the iPhone invention.  The Palm phone couldn’t do it.  Blackberry couldn’t do it.  But iPhone and its rival Android phones finally broke the barrier because the domination of the two phone operating systems have so much similarities that anyone with a smartphone can accomplish almost the same functions.  And it is this similarity that makes the Digimarc solution a very viable and powerful tool for the retail industry to take advantage of.

Thus, it is my humble opinion that 2016 is the breakout year for Digimarc when the big retailers start to show their support.

DMRC_daily

Price is still above the 89 MA support so current correction is all part of the zig-zag movement on the up and up.

$IBIO and $BIOC also corrected some more today probably due to lack of update regarding the fibrosis treatment and the prostate test respectively.  I’m patient so I’m going to wait it out.

IBIO_daily

iBio price is finding support at the 15 MA.

BIOC_daily

While Biocept is finding support at the $1.85 level.

$ARTH gave back some gain from yesterday.  But I like the update from the LD Micro Main Event today. CEO Terrence W. Norchi, MD made it very clear that Arch has been in communication with the European regulatory agency and that the human trial will be on schedule in the 4th quarter 2015.  This mean it will happen in this month.

ARTH_daily

Despite today correction after yesterday giant up day, I’m now more than happy to wait out the event.  I believe Arch Therapeutics will make a big splash next year which is perfect ’cause a majority of my position will cross the one year mark for long-term capital gain tax rate.   With the kind of gain I’m expecting to see in $ARTH, having a long-term capital gain tax rate will allow me to keep more of my gain.

Oh yeah, we should hear something soon on $AKAO top line result.

Not much to do but wait, wait, and wait.

My 2 cents.

From my camera (click on photo to see image at 100%)

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Categories: Daily trading Journal, trading journal

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