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INDIA COURT RULING AGAINST NOVARTIS IS DARK OMEN FOR BIG PHARMA $NVS $LLY $BMY $MRK $JNJ $PFE

April 2, 2013

It is official: India is siding with poor cancer patients over profits for multinational drug giants. The Supreme Court of India has rejected a plea by Swiss pharma giant Novartis that ends the seven-year legal battle to restrict Indian companies from copying blood cancer drug Glivec. Novartis had filed a plea with the Supreme Court after the Intellectual Property Appellate Board had rejected a patent claim for Glivec. Glivec is marketed as Gleevec in the United States. In 2001, Time magazine called it the magic bullet for cancer patients. The drug was originally developed as Imatinib using rational drug design after Philadelphia chromosome mutation was discovered. In India, Glivec

WEEKLY MARKET DIGEST: STRICT CAPITAL CONTROL IN CYPRUS, AND GOLD FALLS $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

March 28, 2013

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers.) STRICT CAPITAL CONTROL IN CYPRUS March 28, 2013 Cyprus has become the first eurozone country to put limits on daily withdrawals, cashing checks, amount of credit card transactions, and money transfers. People can withdraw a maximum of 300 euro each day. People cannot take more than 3000 euros out of the country, and overseas credit card transactions cannot exceed 5000 euros per month. Gold is falling and stocks are taking encouragement because there are no riots in the

INITIATE OR ADD TO VHS $VHS $THC

March 28, 2013

This post was just published on ZYX Buy Change Alert. VHS is a hospital chain. Buy zone is $13.07 to $15.11. Consider not accumulating more than 35% in this range. Most of the accumulation should take place under $14.55 and preferably near the bottom of the zone. In other words be patient and accumulate slowly on down spikes. Target zone is $18 to $20. The plan is to accumulate more if the stock goes lower and there is no change in fundamentals. No stops since the position is in the process of being accumulated however for those who must use

BLACKBERRY BEATS BUT HOLD THE CHAMPAGNE $BBRY $AAPL $GOOG

March 28, 2013

This morning BlackBerry released much anticipated earnings. After reviewing the earnings report, my conclusion is that it does not reveal much for a long-term investor since the company is in transition. The headline numbers were better than expected with one million BlackBerry Z10 phones sold. Here are the reasons why celebration for BlackBerry is premature: The one million number about Z10 is devices shipped. It is misleading in that one million devices are now in the channel in the hands of carriers and distributors. It would be plain wrong to state or assume that one million Z10 have been bought by end users. BlackBerry user

BLACKBERRY EARNINGS REPORT WON’T REVEAL MUCH $BBRY $AAPL

March 27, 2013

BlackBerry is scheduled to report earnings on Thursday, March 28. The consensus is a loss of $0.32 vs. a profit of $0.80 a year ago. The revenue consensus number is $2.84 billion. The consensus is for BlackBerry to lose money in every quarter in FY14. The earnings will be meaningless because it is a transition time for BlackBerry. The earnings data will simply not tell us enough about the sales of Z10 and the adoption of BlackBerry Enterprise Service 10. The stock will move mostly based on projections, however the projections will be controversial. BlackBerry has had a lousy record of

TAKE PROFITS ON SILVER POSITION AND EXIT TRADE $SLV

March 27, 2013

This post was just published on ZYX Short Change Alert. Consider taking profits and exiting SLV right here around $27.40. Future EQ is $28.30. The risks are rising because of the situation in Italy.

BLACKBERRY Z10 PHONES FLY LIKE PENGUINS OFF SHELVES IN U.S. $BBRY $AAPL $VZ $GOOG $S $T

March 26, 2013

BlackBerry’s new device, the Z10, has now been introduced in a number of markets including the United States. It appears to have had a strong launch in places like Canada, theUnitedKingdom and India. In contrast, the launch in the U.S. by AT&T has been listless. The reason the BlackBerry launch has gone better in Canada, United Kingdom and India compared to the United States is because in those countries the supply has been in balance with the number of BlackBerry loyalists. We have conducted on the ground research at a number of AT&T stores and found that there is not much enthusiasm for Z10 on the part of

TAKE MORE PARTIAL PROFITS ON HOSPITAL CHAIN THC $THC

March 25, 2013

This post was just published on ZYX Buy Change Alert. THC is long with an average price of $20.40. Profits have been taken as high at $44.94. As of this writing the stock is trading at $46.87. Consider taking profits on another 5% tranche right here around $46.87. After this profit taking 20% of the full core position size will remain.