Although he typically focuses on longer-term buy-and-hold positions, John McCamant has issued a trading buy for Amgen (NASDAQ: AMGN). He explains, "The stock has sold off so heavily, we now believe it is an attractive, shorter-term buy.

The editor of The Medical Technology Stock Letter explains, "When we see fire sales in the shares of individual biotech stocks, our interest always perks up. When it involves a company which just happens to have been a biotech bellweather for over two decades, we become significantly more intrigued."

He continues, "Amgen recently traded down to over four-year lows in response to a barrage of negative news flow. The investment community has punished the stock price, primarily because their Epogen franchise is under pressure from both competitors and government payers."

Biotechnology industry expert John McCamant last recommended ImClone Systems (NASDAQ: IMCL) in the mid-1990s at $5 a share, and later sold at $42. Now, he has issued a trading alert, once again recommending the shares.

Two events, he says, are the basis of his new buy. The editor of The Medical Technology Stock Letter says, "The first event was Amgen's failed clinical trial of their competing product, Vectibix, when used in combination with Avastin and FOLFOX for the treatment of front-line metastatic colorectal cancer."

This, he notes, has "significantly strengthened" the competitive position of Imclone's Erbitux versus Vectibix. The second event, he adds, was the recent failure of Erbitux in the pancreatic cancer setting, which caused the stock to sell off.

McCamant explains, "This is a low impact event for Erbitux, and, in fact, they have other trials running in pancreatic that may still pan out."