Acadia Pharmaceuticals Inc. (ACAD)

Success from nervous central drugs so rare. Too risky.

There has been a little volatility. The long-term moving average is going up nicely from early 2016. In 2015, it got a little overextended, which can happen from time to time. Chart shows a long downtrend line which was recently broken. The biotech sector is the right space. He believes, on a fundamental basis, that we are just scratching the surface on what biotech is going to do and how it is going to change humanity. Believes it will be a game changer. This name looks like it is breaking out. A little steep right now, but looks like it wants to go much higher and hit around $60.

This is a smaller company between $3-$4 billion and volatile. Have been working on central nervous system and Parkinson’s. This would be the 1^st marketable drug for this company. Recently got a favourable FDA ruling. Things are going in the right direction. These things can go way up or way down, and is not his type of investment. If you want to take a flyer, he would encourage you to look at it as something that shouldn’t be core to your portfolio.