TapImmune Inc. (OTCMKTS:TPIV) Still Running Up

The amazing chart ride of TapImmune Inc. (OTCMKTS:TPIV) continued in Monday’s session, after a brief interruption. Following a flat close in the end of last week, yesterday TPIV closed green in double digits once more. TPIV stopped at $1.15 per share, or 10% up by the closing bell.

The company’s last double-digit jump took place on Thursday, after TPIV announced a new cash infusion. Eastern Capital Limited – a Cayman islands entity, described as TPIV‘s largest institutional investor – exercised 5,000,000 Series C-1 warrants and purchased an equal number of TPIV common stock priced at $0.50 per share.

The resulting proceeds of $2.5 million are stacking on top of TPIV‘s $1.45 million that the company already had in the bank as of March 31, 2015. The company stated the funds will help it “move towards the initiation” of Phase II trials in breast cancer. The news was obviously received well as the stock shot up 19% in its wake.

There are a couple of things to keep in mind when considering TPIV despite its stellar chart movement over the last couple of months. One is that this very movement sent TPIV deep into overbought territory. It’s quite amazing that despite its oversold status that has stuck since the first June sessions, TPIV is still powering through with double digits green days. How long this can go on without a sudden correction that brings the stock back in normal trading ranges remains to be seen.

Another thing is TPIV‘s outstanding stock. Obviously, the company needs new recurring financing tranches to push forward with research and operations. However, between January and September 2014 the company issued 14.3 million new common shares as a result from the conversion of notes. As of November 2014 there were 19.6 million outstanding common shares. This number grew to 38.6 million following the latest warrant exercise and the 5 million newly issued shares.