We’re still a bit underwater on this trade, but that’s okay since we put a six-month shelf life on it to give it time to work out. Not helping is the inherently complex nature of what Myriad Genetics (MYGN) does, which is manufacturing and marketing predictive medical tests to determine a person’s risk of developing certain rare diseases.

The company will release its quarterly earnings report later today after the market closes, so we may see a lot of action in the stock tomorrow depending on what those numbers look like. There has been no recent trading activity to suggest the news will be particularly good or bad, nor has the company issued any press releases lately of much significance.

The stock did take a hit a month ago after a rival company, Tesaro Cancer, announced that its experimental drug for ovarian cancer may obviate the need for a corroborating test from Myriad. But it’s too soon to know to what extent that may turn out to be the case, and to what extent that would impact Myriad’s operating results so I’m leaving this position open as a play on increasing M&A activity in the healthcare sector.