Buying Opportunity

I think we have a rare buying opportunity on a hot stock, symbol QCOR.

The stock got whacked by about 15% yesterday on news that something called "StreetSweeper" was going to come out with a derogatory article about the company's marketing and business practices.

Indications are that the as-yet unspecified allegations are groundless, and the forthcoming article (assuming it sees the light of day) is either an uninformed opinion or an attempt to manipulate the price.

Here's a snipped from the news with Oppenheimer's take on it. They're not the only ones, numerous others have the same opinion.

"Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR):

Questcor weakness unwarranted. Oppenheimer says buy Questcor on weakness caused by investor blog allegations. The firm thinks the allegations are groundless, but will taint the stock until they are cleared up."

Technically, the stock has tumbled back down to the exact point where it had a new-high breakout from a few months ago, right around $35.00.

The assumption is that yesterday's whack was nothing but a shake-out, and that support will hold. If so, the low has been set, and the price will move upward from here. 

Here's the chart: