March 7, 2017 7:48am

 

… Other than oversold momentum

 

Anyone who reads my posts, knows that I am about making money, no matter what happens in the sector

… Dow futures are DOWN -0.12% and NASDAQ futures are DOWN -0.14%

… Companies in my trading headlights: nine (9)

… Investors need to gauge whether any advances are just speculation

 

Critical information ahead of “our” universe’s open! I provide intelligence and analysis for short and near-term investment.

 

 

 

Expectation will be the word for 2017 – meeting the unknowns with the soon to be exposed concerns will be the subject of investing decisions throughout this year.

 

 

U.S. stock index futures pointed to a lower open on Tuesday amidst growing concerns over U.S. President Donald Trump's ability to implement economic policies.

European markets hovered around the flatline as investors digested new economic data and grew optimistic of an interest rate hike in the U.S. later this month.

Asian shares finished mostly higher amid growing expectations among traders that the Federal Reserve could raise interest rates at its March policy meeting next week.

 

Data docket: trade deficit and consumer credit for January released at 8.30 a.m ET and 3.00 p.m ET

 

 

The stem, cell, gene and regenerative therapy (SCG&RT) closed NEGATIVE on Monday, POSITIVE on Friday, NEGATIVE on Thursday, POSITIVE on Wednesday and NEGATIVE last Tuesday.

The SCG&RT sector’s record after the last 5 days (of 43 covered companies):

·         Monday closed NEGATIVE with 28 decliners, 12 advancers and 3 flats;

·         Friday closed barely POSITIVE with 19 decliners, 20 advancers and 4 flats;

·         Thursday closed NEGATIVE with 24 decliners, 11 advancers and 8 flats;

·         Wednesday closed POSITIVE with 11 decliners, 27 advancers and 5 flats;

·         Last Tuesday closed NEGATIVE with 23 decliners, 18 advancers and 2 flats;

 

 

Remembering Monday’s closing bell newsletter, “fear of failure as the sector … begs to be considered viable as a therapy in the future of healthcare.”

  • Reiterating, “A deep-diving Monday as investors, traders and algorithms find few if any reasons to push stem, cell, gene and some regenerative therapy (SCG&RT) shares anywhere but down following alternating negative and positive closes last week.  Equities have dropped to repeated depths on hopes of recognition, but I say that there is NO market for many of these equities and those that are soaring are about to feel the sharp stick deflating their balloon!”

Volatility is higher in “our” universe along with uncertainty!

  • As periods of uncertainty ahead of financial results releases can also stimulate a pickup in share pricing a day or two post that same release.

Investors seem more and more complacent while traders, algorithms and dark pools “run the table”!

  • Meanwhile, investors have plenty to wrestle with in coming weeks and months. Financial results AKA earnings seems to have telegraphed an expected decline as the month continues and the outlook for share pricing is is still cloudy.

Then there are weakening cash positions that will be exposed in these releases.

 

So if anything is certain, it’s that short-term uncertainty is unlikely to go away!

 

 

You’ve made it to the office, turned on the monitor, having just gotten your coffee and it hits you - what could be today’s trades? 

Watch list:

·         The iShares Nasdaq Biotechnology (IBB) closed  Monday down -0.88% and is UP +0.02% in Tuesday’s pre-market;

·         The SPDR S&P Biotech ETF (XBI) closed Monday down -0.87% and is UP +0.03% in Tuesday’s after-market;

·         The Health Care Select Sector SPDR ETF (XLV) closed down -0.38% Monday and is NOT indicating in Tuesday’s pre-market;

·         The iShares Russell 2000 (IWM) closed down -0.69% on Monday and is DOWN -0.15% in Tuesday’s pre-market

                                                                                   

 

Companies in my headlights:

Understanding the tone of the sector is paramount – watch the trends <volume, advance/decline lines, momentum and relative strength etc.>, the peaks and valleys as well as the hesitancy of flats!

 

Keep your eyes open and your trading fingers limber:  

BUY - OVERSOLD: AGTC, CLLS, MESO and ONVO  

SELL - OVERBOUGHT: BLFS, BSTG, BLUE, ONCE and KITE                              

 

 

Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.

Henry’s comments are for informational purposes only and are not a substitute for personalized advice. Consult your advisor about what is best for you.