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Good Morning, Trader!
Until yesterday, Axxess Pharma Inc. (AXXE) used to be a fairly quiet little vitamin maker with a quiet little chart.
But on Monday AXXE management announced a big international merger and the market had to sit on its hands a full day before playing the news.
As you can see, by the time AXXE opened yesterday, the buzz had built to the point that price action couldn’t stay “quiet” one more minute:
Note those big question marks. Evidently there’s a little confusion what Monday’s press release means for AXXE and where it “should” trade.
Somebody evidently thought buying this Canadian headache remedy company could dilute AXXE, maybe all the way down to $0.75 or so.
Other traders bet that beefing up the AXXE product line was worth paying well over $1 a share.
The truth may be somewhere in the middle, but the spread is wide enough to generate thrills while the market makes up its mind!
And that volume bar from yesterday? That’s the mother of all big bangs echoing across this “once-quiet” chart.
AXXE moved roughly 400 times its normal volume yesterday so that one-day spike represents a 39,000% flood of turnover.
Four out of every five AXXE shares that changed hands in the last QUARTER are in that 24-hour tidal wave of liquidity. Cowabunga!
Now where does that wave take us? Until we get more details from AXXE beyond “we’re buying a Canadian corporation,” it’s impossible to say.
They’re already talking about picking up global rights to sell TapouT, an “intense” pain relief product for weightlifters and athletes. (Read more)
Heavyweight boxer Ray Olubowale is on board as celebrity spokesman and ambassador to the sports world. (Read more)
And beyond the aspirin aisle, AXXE is gearing up to sell prescription-only cancer-fighting drugs. (Read more)
Shifting from medicated shampoo and iron supplements is a huge leap and is probably going to be a major theme for AXXE in the future. (Read more)
For today, let’s see if we hear anything more about those mysterious Canadians. That deal is the true low-hanging fruit for AXXE to capture.
And based on the chart, traders may find a little “harvest” here too. Pick your sweet spots, reach out your hand and remember the ticker is AXXE!
See you soon!