VVUS received FDA advisory panel approval for its diet pill last February when it gapped up nearly 80% in one day. While panel approval does not guarantee FDA approval, price/volume action over the last few weeks including today's price/volume action seems to be betting that FDA approval will come.
That said, this is a high risk trade where VVUS could gap in either direction, depending on the FDA ruling, so if you decide to take this trade, position size accordingly.
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