December 27, 2017 7:30am

… Of the battle between the oversold and the overbought

 

Low volume heightens the game of pick-up sticks, I mean stocks

 

Pre-open indications 2 BUYs and 4 SELLs

 

Slightly higher open expected

Dow futures are UP +0.02% (+6 points) and NASDAQ futures are UP +0.05% (+3 points)

 

U.S. stock index futures are pointing to a slightly higher open on Wednesday, as investors gear up for the latest in economic data as the year draws to a close.

European markets traded higher, amid light trade across markets worldwide due to the holiday period.

Asian markets closed mixed, as Australian and Japanese energy names rose after oil touched a more than two year high overnight. Meanwhile, South Korea's Kospi index reversed early losses as blue-chip tech names rebounded.

 

Issues that will affect the trading day: investors are likely to still be mulling over the latest concerning tax reform, which has boosted market sentiment in recent weeks.

Data docket: At 7 a.m. ET, the routine mortgage applications are due out, followed by consumer confidence and pending home sales, both of which are set to be released at 10 a.m. ET.  At 10:30 a.m. ET, the Dallas Fed's Texas service sector outlook survey is expected to be released.

Issues on the political front: Ryan wants to cut so-called entitlement programs such as Medicare and Social Security to reduce the deficit.

 

Henry’omics:

From Tuesday night’s closing bell post, “the upside versus the downside. Overall the sector was scattered while the NASDAQ was down -23.7 or -0.34% while the IBB was up +0.50 or +0.47%.”

Reiterating, “What’s for the week – clean-up, be careful of what ails your portfolio – it might be time to DUMP the consistent laggards and those who have a financing in the “cards”, you are holding! Although trading is expected to be thin this week - as many traders are still away for the Christmas break.”

The real issues is bending (our own "rules") to acquire which equities or sell but, based on WHAT?

It is beyond the oversold or overbought ...

 

 

The cell therapy sector’s record over 5 sessions (of 40 covered companies):

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

·         Tuesday closed POSITIVE with 16 decliners, 22 advancers and 2 flats

·         Monday was Christmas Day;

·         Friday closed NEGATIVE with 19 decliners, 18 advancers and 3 flats

·         Thursday closed POSITIVE with 18 decliners, 20 advancers and 2 flats;

·         Last Wednesday closed POSITIVE  with 18 decliners, 19 advancers and 3 flat;

 

 

Today’s indications:

  • The iShares Nasdaq Biotechnology (IBB) is indicating a POSITIVE +0.21% in Wednesday’s pre-market;
  • The SPDR S&P Biotech ETF (XBI) is NOT indicating in Wednesday’s pre-market;
  • The Health Care Select Sector SPDR ETF (XLV) is NOT indicating in Wednesday’s pre-open;
  • The iShares Russell 2000 (IWM) is indicating a POSITIVE +0.09% in Wednesday’s pre-open

 

 

Companies in my headlights:

Trader targets (SELLs) in lieu of Tuesday’s upside on low volume:

  • Fate Therapeutics
  • bluebird bio (BLUE)
  • uniQure (QURE)
  • Capricor (CAPR) – just waiting for the financing to begin

 

I’d be watch for the gift (BUYs) that could keep giving:

  • Histogenics (HSGX)
  • MiMedx Group (MDXG)

 

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.

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.

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