A new item of interest on Cel-Sci Corp. (AMEX: CVM) hit the wires today, and I wanted to address it and the subsequent move in the stock.

The company plans to raise $5 million in much-needed funds from an institutional investor to speed up work on its swine-flu treatment and also to “validate” its $15 million manufacturing facility in Baltimore.

The Maryland location is where it plans to produce its late-stage, head-and-neck cancer fighter called Multikine, something that’s been on hold until Cel-Sci received funding or found a developmental partner.

Although shares of CVM stock lost 13% on the news and volume of nearly $5 million, this isn’t cause to worry. If you’ll recall when I first brought this stock to your attention, I focused on the fact that the stock had completed a perfect 61.8% retracement at $.47. That meant from a technical standpoint, CVM was poised to rise higher.

It did, briefly, to $.50 a share until today’s news brought it down to $.39. My suggestion is that if the stock drops to 0.36%, set a tight stop in case it falls further from there.

Cel-Sci Corp. also announced today that it has filed a provisional U.S. patent application covering its L.E.A.P.S. immune therapy drugs (vaccines) for the prevention/treatment of H1N1, swine and bird flu.

Some experts believe that by the next flu season the swine flu virus will have evolved and/or combined with other viruses to create a much more lethal new virus. This patented vaccine from CVM could potentially fight this type of mutant virus.

I still see Cel-Sci as a winner. Once it secures an investor, the development process for its swine flu vaccine, its cancer treatment and shareholders’ profits will kick into a higher gear.