TapImmune Inc. (OTCMKTS:TPIV) Down in Double Digits

When it’s raining over at TapImmune Inc. (OTCMKTS:TPIV), it seems it’s pouring. In yesterday’s session the stock slid in double digits once again. TPIV had slipped down to $0.55 per share by the closing bell, another 14% down the chart, on its heaviest volume for the past two months.

TPIV‘s chart for the last few months is quite a sight. After increasing over 600% over the course of less than eight weeks, TPIV is currently speeding back down, having dropped over 60% from its late June peak.

The company’s price surge was sped along by a very optimistic news release. TPIV announced very good immune response in female patients who were given a sequence of vaccine shots during the company’s Phase 1 trials. The day this news hit the wire was also the day the company peaked before starting its downhill blitz.

It was more or less obvious TPIV was going to pull back significantly. After its first march from $0.20 to $0.40 in May, TPIV went back to normal trading ranges. However, its second and much bigger push up sent the stock far inside ‘overbought’ territory. TPIV remained heavily overbought for almost a full month – an amazing feat on its own, and the correction was bound to happen.

Of course, there is also the considerable incentive to simply cash out a good portion of your shares in any given company if it climbs up 600% and this too will hurt the price.

There is also the matter with the company readjusting the exercise prices of a number of different warrants, and lowering them significantly by as much as 90% for the Series A and A-1 which had their exercise price slashed from $1.50 down to $0.10 per warrant. Curiously, this readjustment was announced in late May and investors who were buying TPIV up to $1.51 per share already had access to this information.