InVivo Therapeutics Holdings Corp. (OTCBB:NVIV) Swings Back Up

The stock of InVivo Therapeutics Holdings Corp. (OTCBB:NVIV) shifted gears once more in yesterday’s session and flung itself back up the charts, closing green in double digits. The rollercoaster ride of the last three weeks has given swing traders more than enough opportunities to make a quick buck and yesterday’s session was no exception.

NVIV‘s volatility has been huge over the last month, with the stock bouncing between $4.25 and $1.20, and then charting smaller peaks and drops in between those values that still changed the the price by as much as half a dollar within a single day. This unpredictability is never good news for long-term shareholders but savvy players got an opportunity to surf the charts and get out with decent profits.

Pandora’s box opened for NVIV when their former CEO and CFO, F. Reynolds, stepped down due to “health concerns” – an explanation lending itself to some interpretation. Days later NVIV announced a considerable delay in the earliest date on which their flagship product could be commercially viable and the price was pressed even further down. Only this week the company announced its new CFO was resigning too and due to this the company skipped attending an investor healthcare conference in New York this Tuesday. This cut short the bounce back up the ticker was going through.

As technical aficionados have noticed, the stock’s accumulation distribution indicator logged its highest levels in September. The disconnect between the price and the indicator may mean it’s not the most reliable decision helper at the moment. All technical indicators often prove to work a little differently with OTC stocks that frequently chart huge swings on news and excitement or anxiety, as opportunities before the developing businesses emerge or disappear, and are generally not as safe to use as they are with higher-tier stocks. Using the accumulation as a herald to an impending buyout is stretching it quite far.

NVIV was not the only double-digit mover in yesterday’s session. PacWest Equities, Inc. (OTCMKTS:PWEI) closed nearly 70% up, prodded along by a large pump campaign, spearheaded by one of the biggest pumper outfits out there. NanoTech Entertainment, Inc. (OTCMKTS:NTEK) also returned to the front spots of the volume charts, with 8.5 million shares traded and a close of nearly 20% up.