Once again QCOR is not a penny stock but that is the beauty of my strategy. My trading system allows me to trade stocks, bonds, futures, options, forex, and even more. Since QCOR had a fraud article on it it became extremely volatile and started to trade like a penny stock which is what I look for because I know I can make money in the short term off stocks that really move. I don’t care what the price is as long as my system tells me the stock is set up to make a high probability move. This isn’t the first report that Citronresearch put out on QCOR but this one was the most damaging. QCOR is a pharmaceutical company and had one drug that generated 95% of its revenues. Aetna is the parent pharma company of QCOR and put a negative Review Of QCOR and said it will stop funding QCORS drug Acthar due to a failed study. Shares of QCOR dropped from $50 to $22 in 1 hour. This is the power of fraud articles when released on allegedly fraudulent companies.
I shorted 500 shares of QCOR at $45.99 around 10:12 A.M. I covered 200 shares at $42.00 for an $800 profit and I covered my remaining 300 shares at $40.00 for $1800. Total trade time about 1 hour and a total profit of $2600. Now the stock dropped much lower to $22.00 per share. I could have made thousands of dollars more but this thing was incredibly volatile. I stuck to my plan which was to do what my system told me because more often then not this allows me to pull consistent profits out of the market.
******Update .09/25/2012: I originally posted this last week when I shorted QCOR on the first drop. Now the stock is down another 21 points to $19.00. Pretty amazing sell-off but I still think it goes to single digits and then probably to penny stock land.
