September 22, 2023 7:36am
What’s still risky after 5 negative closes in a row; will “uncle algo” and his electronic trading dwarfs come to visit?
Pre-open Indications: 3 Positive and 2 Negative Indication
It’s an honor to be considered the “canary in the (sectors) coal mine”! I post about “indication intelligence” devoting my time to collection and analysis of information to assist investors in the perception of sector vulnerabilities and strengths – it’s more than opinion, the facts need to be recognized!
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8:00 a.m. edition
Remember that overnight and pre-open actions in futures don't necessarily translate into actual trading in the coming day’s session. My interpretation of the morning’s numbers is written to be informative; it’s built on what will happen behind the headlines today, not tomorrow or yesterday
Dow futures are UP +0.04% or (+15 points), S&P futures are UP +0.16% or (+7 points) and NASDAQ futures are UP +0.37% or (+54 points) early in the pre-open – so far
Stock futures are rising on Friday,
European markets were slightly lower,
Asia-Pacific markets are mixed.
Henry’omics:
We need to more than consider the economic environment - rising rates and inflation to comprehend the micro re “our” universe of cell and gene therapy companies …
Indexes fell Thursday as the Dow closed DOWN -370.46 points or -1.08%, the S&P closed DOWN -72.20 points or -1.64% while the Nasdaq closed DOWN -245.14 points or -1.82%.
Stock futures edged higher on Friday, but were poised for weekly losses having sold off after the Fed signaled that interest rates will stay higher for longer.
Economic Data Docket: Updates on September US manufacturing and services activity
Thursday’s (9/21) RegMed Investors’ (RMi) closing bell: “sector got scalped. It was a risk-off session, while investors feel the effects of Fed policies, inflation as sentiment nose dives and algos/electronic trading create share pricing depression.” … https://www.regmedinvestors.com/articles/13131
Ebb and flow:
Q3: September – 1 holiday, 6 positive and 8 negative closes
· August – 9 positive and 14 negative closes
· July - 1 holiday, 12 positive and 8 negative close
Companies in my headlights – It’s your decision; I provide ideas and context: INDICATIONS
I post about “indication intelligence” devoting my time to collection and analysis of information to assist investors with insight into sector vulnerabilities and strengths. A dictionary definition of “indicate” refers to something less than a certainty; an indication could be a signal of being oversold or overbought, a recommendation, or grounds for inferring or a basis for believing.
Negative Indications:
Thursday’s closing price, some Wednesday, Tuesday and Monday’s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)
Sage Therapeutics (SAGE) closed down -$0.30 after Wednesday’s -$0.55, Tuesday’s +$0.15 and Monday’s -$0.72 with a negative -$0.20 or -1.02% pre-open indication
Ultragenyx Pharmaceuticals (RARE) closed up +$0.43 with a negative -$0.73 or -1.99% aftermarket indication.
Positive indications:
Thursday’s closing price, some Wednesday, Tuesday and Monday’s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)
Beam Therapeutics (BEAM) closed down -$0.27 with a positive +$0.29 or +1.16% pre-open indication.
CRISPR Therapeutics (CRSP) closed down -$0.50 after Wednesday’s -$0.86, Tuesday’s -$0.22 and Monday’s -$2.94 and last Friday’s -$0.70 with a $0.00 or 0.00% pre-open indication.
Intellia Therapeutics (NTLA) closed down -$0.46 after Wednesday’s -$0.38, Tuesday’s -$0.65 and Monday’s -$0.80 with a positive +$0.09 or +0.27% aftermarket indication
The BOTTOM LINE: underlines the framework of share pricing actions...
A daily report may say little or a lot and its final judgement may be inconclusive; yet it serves as insurance that all indications are being examined, evaluated and reported.
The cell and gene therapy closed down on Thursday, Wednesday, Tuesday, Monday and last Friday but was weak for the previous Thursday “ascension” while exhibiting shallow upsides.
This and some of last week: a maybe NOT upswing for Thursday but it’s coming as …
· Thursday closed negative with 8 incliners, 25 decliners and 2 flats
· Wednesday closed negative with 3 incliners, 31 decliners and 1 flat
· Tuesday closed negative with 17 incliners, 18 decliners and 0 flats
· Monday closed negative with 11 incliners, 22 decliners and 2 flats
· Friday closed negative with 8 incliners, 25 decliners and 2 flats
The remainder of the month’s trading sessions will be critical for the RegMed, cell and gene therapy sector which will establish whether market reaction to recent events is temporary and short-lived or there will be further fundamental correction.
Where and when is value creation as we slip further into September and the end of Q3 with LPS <loss-per-share> quarterly releases coming due?
I believe a number of decliners need to be bought, a few sold into strength and a number of negative indications document a continued sell.
I hate to be so negative or contrarian but, this is a NO spin zone and truth is its product; I can always be WRONG but, I am mostly EARLY!
There's ALSO nothing wrong with standing pat in the short run, holding on to sizable existing exposure.
Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice. All investments are subject to risks. Investors should consider investment objectives.
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors. All investments are subject to risks. Investors should consider investment objectives. Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.
Henry McCusker, the editor and publisher of RegMed Investors could hold or have positions securities referred to in this publication and he will NOTIFY investors of holdings.
