The biotech company NovelStem International Corp (OTCMKTS:NSTM) has seen its stock go into a freefall of sorts in recent days and it continued on Monday as it ended the day with a decline of 9%. The decline in the stock on Monday took the cumulative losses for the past week to as much as 40%.
Market Action
On Monday, NSTM stock moved down 8.74% to $0.2455 with 2K shares, compared to its average volume of 3K shares. The stock moved within a range of $0.2455 – 0.2690 after opening trade at $0.2690.
NovelStem Announces FDA Pre-Submission and EMA In Vitro Diagnostic Device Filing for Revolutionary Life-Saving, Treatment-Changing Diagnostic Device by 30%-Owned NewStem, Ltd
In this situation, it may be a good time for investors to take a look at the announcement from the company on Monday. The company announced that it had sent in the pre-submission for a De Novo Request to the United States Food and Drug Administration in relation to its NewStem Software Diagnostic Device.
In this context, it is perhaps important to point out that the announcement was made by NovelStem after it graduated from the 3rd funding cycle from Illumina’s Accelerator last month. While the latest announcement from NovelStem was an important one, it did not come as a source of optimism for investors and the stock continued to be in free fall. It is now going to be interesting to see if the stock can manage to have a rebound at any point over the course of this week.
Key Quote
“The technology, based on our proprietary haploid cells, has changed the dogma and enables what was formerly impossible,” says NewStem founder and Chief Scientific Officer, Prof. Nissim Benvenisty. “NSDD will give oncologists a better understanding of the many variances that present challenges in the treatment of cancer and in the identification of drug-type resistance. That is unprecedented.”
Traders Note
NSTM stock is trading above the 20-Day and 50-Day Moving averages of $0.2685 and $0.2748 respectively. Moreover, the stock is trading is the oversold zone with RSI stands at 22.
 Stock Extends Fall: Announces FDA Pre-Submission){kind=link}