Elan ( ELN ) Biogen ( BIIB ) Tysabri Update - MS Drug 8/26/08

Last night, Biogen ( BIIB ) came out with an update regard the multiple sclerosis drug, Tysabri, which they are co developing with Elan ( ELN ) corporation.

The FDA is working with the companies to amend the product labeling to inform patients of the two cases. A company spokeswoman said the updated label will be based on the two cases, which the company had confirmed in late July.

The patients had been taking the drug, as a sole treatment for multiple sclerosis, for more than a year, according to an alert the FDA issued to health-care professionals that was posted on the agency's Web site Monday.

This is great news for both companies, I expect them to move high in the coming weeks and months. If the patients in Europe that has this brain disorder die however; it could have negative implications on the these two stocks.

Elan ( ELN ) Stock Alert - Up in Pre Market Again

This morning is the second straight day Elan Corp ( ELN ) is up in pre market. It finally seems like it has bottomed out. This is a risky stock but the potential here is huge if they can just make Tysabri safe. You could be looking at a $25 stock in a year if everything goes right.



If you are day trading ELN.....these is strong resistance at the $12 range.....a break above this level would cause a nice spike intraday. A close above $12 and you could see a move toward $15 this month I think. Just keep an eye on the news wire!



Check out this week Earnings Calendar & The Top 2008 Stock Gainers

ELAN - ELN - Tysabri Drug goes wrong!

Tonight Elan ( ELN ) is down another 35% as the company released an SEC filing stating that two patients taking Tysabri were infected with the rare PML brain disorder.

These two incidents happened today and yesterday....both patients are in Europe....one still hospitalized, the other is at home and clinically stable.

Elan was $32 just days ago and now has fallen to $11.50 afterhours tonight.

ELN has strong support in the $7 range so if it got there it might be interesting. This is fresh news so tomorrow I will look to see how the market takes this news.

Watching my level 2 trading....i'm seeing big blocks coming in for sale: 500,000 share blocks coming in hitting the bidders. Not a good sign!!

ELN could trade between 80-120 million shares tomorrow I would guess. Who knows maybe more! Keep this stock on your watchlists.

Please note: Biogen Idec ( BIIB ) is also a partner for this drug

http://www.sec.gov/Archives/edgar/data/737572/000095016208000315/elan6k_073108.htm