June 23, 2017 8:19am

 

It’s time to exhale and stop toking …

​It's detremental to your health

 

Always a contrarian as I feel the pain of past wounds when anxiety builds

 

 

Pre-open indication:  eight (8), 4 BUY and 4 SELLS

 

A critical indication ahead of “our” universe’s open!

 

Are you a subscriber?  If not – you’re missing the realities of “our” universe! 

 

 

 

 

I know what a company is supposed to look like, be like, and smell like to succeed!

 

Lower to mixed open expected

 

Dow futures are DOWN -0.18% and NASDAQ futures are DOWN -0.13%

 

U.S. stock index futures pointed to a flat to lower open on Friday, as investors await the latest economic releases and speeches from Federal Reserve members, while maintaining a close eye on oil.

European markets were under pressure during mid-morning trade, as investors monitored oil prices and focused on developments from the EU Summit in Brussels.

Asia markets closed mixed after trading sideways following news that China's banking regulator had questions for banks related to loans for overseas asset purchases and as oil prices advanced off 10-month lows.

 

Data docket: manufacturing PMI data and services PMI data due out at 9.45 a.m. ET, followed by the latest new home sales data, out at 10.00 a.m. ET.

 

 

The cell therapy sector closed POSITIVE on Wednesday, NEGATIVE on Tuesday, POSITIVE on Monday NEGATIVE on Friday and last Thursday.

The cell therapy sector’s record over the last 5 sessions (of 43 covered companies):

·         Thursday closed POSITIVE with 12 decliners, 27 advancers and 4 flats

·         Wednesday closed POSITIVE with 13 decliners, 27 advancers and 3 flats;

·         Tuesday closed barely NEGATIVE with 21 decliners, 20 advancers and 2 flat;

·         Monday closed POSITIVE with 7 decliners, 35 advancers and 1 flat;

·         Last Friday closed NEGATIVE with 26 decliners, 14 advancers and 3 flats;

 

 

Remembering Thursday’s closing bell newsletter, “still in a sprint mode with strong gains - XLV hits record high +0.88%, the IBB trades at a 2017 high +1.27%  while the XLV jumps +1.04% while volatility, the VIX drops -2.51%.”

Reiterating, “Maintaining the momentum and retracement will be the issues. I still say, look up and be aware of “black swans”

The iShares NASDAQ Biotechnology (IBB) has indicated a 9.07% rise in four (4) days and 7.94% in six (6) days …

•             Thursday traded UP +1.27%

•             Wednesday +4.12%

•             Tuesday +1.27%

•             Monday +2.41%

•             Friday -0.36%

•             Last Thursday -0.77%

 

The question, can it stay and continue its run …

My issue, in a rewording is should we consider - the tendency of stocks to rally while other measures of economic health are characterized by or reflecting unfavorable prospects or some aspect of the sector...

 It’s ending the quarter next week topped-off by a holiday where many will exit … this market … untrusting what might come during it – so WHY be TOO LONG!

As I had stated last night, “ENJOY the high, next week will be the determinant as the month and quarter ends as many traders will retreat for the July 4th week … EARLY!”

 

What did I see on Thursday, the DOW closed DOWN -0.06% (-12.74) as the NASDAQ closed UP +0.04% (+2.73) … while the CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market, traded near 10.5 following Wednesday traded near 10.75 – DOWN -1.01%

 

 

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 up +1.27% on Thursday, and indicated a POSITIVE +0.23% in Friday’s pre-market;
  • The SPDR S&P Biotech ETF (XBI) closed Thursday up +0.88%, and is indicating a POSITIVE +0.61% In Friday’s pre-market;
  • The Health Care Select Sector SPDR ETF (XLV) closed up +1.03% Thursday, and is NOT indicating in Friday’s pre-open;
  • The iShares Russell 2000 (IWM) closed up +0.38% on Thursday, and indicating a NEGATIVE -0.09% in Friday’s pre-open

 

 

Companies in my headlights:

………. We are back to measuring potential momentum for the sector …….

Applied Genetic Technologies (AGTC) closed down -$0.10 to $5.55. AGTC’s like a tool that’s been rusting in the basement. The aftermarket indication is a positive +0.25 or +$0.25 – BUY;

Athersys (ATHX) closed down -$0.10 to $1.58 following Wednesday’s $1.68 (+$0.18). June started at $1.42; saw a high of $1.68 and a low of $1.42 having seen that price three of fifteen sessions. A 12% increase in one day – being a non-believer, I’d jump. The aftermarket was negative -$0.01 or -0.6% - Maintaining SELL;

Biostage (BSTG) closed up +$0.043 to $0.357. The aftermarket indication is a negative -$0.0015 or -0.42%. What’s leaking or just a run-up for a reverse split; the ONLY value is the warrant held by those “bottom-fishing” funds and the only cash possibility for BSTG. After a possible reverse and any exercise of the outstanding warrants – the value of this stock is still - ZERO. What investors will be paying for are lawyers in its recent terminal death suit. The “Sword of Damocles is hanging closer to BSTG’s head - Maintaining SELL;

bluebird bio (BLUE) closed down -$1.80 to $118.50 following Wednesday’s  $120.30 (+$7.30). June started at $79.20; saw a high of $120.30 and a low of $79.20.  I’ll go with the numbers but, it is getting very “rich” as well. The aftermarket indication is a negative -$6.30 or -5.32% - BUY to SELL;

Juno Therapeutics (JUNO) closed up +$0.55 to $26.98 following Wednesday’s $26.43 (+$1.77) following Tuesday’s $24.66 (+$0.46) after Monday’s $24.20 (+$0.91). June started at $24.50; saw a high of $26.21 and a low of $21.68 having seen $24.20 twice in ten sessions.  The aftermarket indication was a positive +$0.42 or +1.56% - Maintaining BUY;

Kite Pharma (KITE) closed up +$0.45 to $93.99 following Wednesday’s $91.21 (+$1.92) after Monday’s $89.29 (+$1.44). June started at $74.66; saw a high of $89.71 and a low of $73.61. The aftermarket indication is a positive +$0.51 or +0.54% - SELL to BUY;

Regenxbio (RGNX) closed up +$0.60 to $21.10 following Wednesday’s $20.50 (+$0.95) after Tuesday’s $19.55 (+$0.45) after Monday’s $19.10 (+$0.60). June started at $18.00; saw a high of $20.10 and a low of $18.00 having seen $19.10 twice in four sessions. It’s getting a bit “rich” – a 12.3% premium in four sessions is tempting to traders – Maintaining SELL;

Sangamo Therapeutics (SGMO) closed UP +$1.05 to $9.20 following Wednesday’s $8.15 (-$0.05) after Tuesday’s $8.20 (+$0.25) following Monday’s $7.95 (+$0.50). June started at $7.00; saw a high of $7.95 and a low of $7.00 having seen $7.20 twice in twelve sessions.   SGMO announced an offering of 10 M common stock priced at $7.25 and the pre-market is a positive +$0.20 or +2.17% – SELL on news of offering to BUY;

 

 

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.