If you’re inclined to get your financial info from fast-talking analysts on cable news channels, you might want to give this blog post a read. The author points out several egregious mistakes that CNBC’s “Fast Money” has made with biotech/pharma stocks by having traders giving out advice and forecasts despite apparently knowing very little about the sector at all:
Fast Money found a way to make itself infamous at the (ASCO) meeting last year when one of its traders, Jon Najarian (@optionmonster), mentioned on TV that Celsion (Nasdaq: CLSN) was his ASCO stock to watch. The problem with that prediction, and you barely have to be a biotech person to know this, is that Celsion is not only a very dubious company to begin with, but they had NO presence at that year’s meeting whatsoever. To stick with a baseball analogy, it would have been akin to predicting the Carolina Mudcats will make a run for the World Series. This literally became the meeting’s running joke. I saw people toasting it at social events, and heard stories of traders looking in jest for Celsion’s presentation at the poster section like something out of Where’s Waldo. . .
Trying to understand biology, medicine, and chemistry is a lot harder than reading stock market charts for reverse goose-steps, Cleesian leg-outs, or whatever the pattern is supposed to be.