May 18, 2018 8:17am

In this erratic market, if there is solid appreciation on the table - takes it while it’s there - SELL into the week’s strength

Not a sector killjoy but, one who is here for the ROI

 

Investors need to “harvest” money from where its investment is working

 

Pre-open indications: 3 BUYs and 4 SELLs

 

If you were a subscriber, you’d be reading to understand how indications shed light on share pricing!

 


Get set for a higher open…

Dow futures are UP +0.27% (+67 points) and NASDAQ futures are UP +0.10% (+7 points)

 

U.S. stock index futures pointed to higher open, as investors continued to monitor developments in U.S.-China trade negotiations.

European markets lower

Asian stocks closed mostly higher on Friday.

 

Data docket: NONE

 

Today’s indications:

  • The iShares Nasdaq Biotechnology (IBB) is indicating an upside of +0.37% in Friday’s pre-market;
  • The SPDR S&P Biotech ETF (XBI) is NOT indicating in Friday’s pre-market;
  • The Health Care Select Sector SPDR ETF (XLV) is NOT indicating in Friday’s pre-open;
  • The iShares Russell 2000 (IWM) is indicating an upside of +0.18% in Friday’s pre-open

 

Henry’omics:

Friday’s moves:  I am selling into the upside, while I see appreciation on the table

To start the day, “The moves in pre-market trade come amid elevated trade tensions between the world's two largest economies. The U.S. and China kicked off the second round of trade talks on Thursday, in the hope of averting a global trade war.”

From Thursday’s night’s newsletter: “a tug-of-war in pricing during the session as volume is low in most equities as the sector closes barely positive with an advance/decline line (A/DL) of 23/20 and 2 flats as the IBB (+0.06%) inches up, the NASDAQ (-0.21%) falls.”

I also stated, “Today’s good moves are bad news as the “ups” of the month which will work against investors in the short-term – whenever we see “tops” be inclined to SELL!  Worry about the upside more than the downside – there will be a lot of “noise’ from the 23rd European Hematology Association (EHA) Congress and with the highs it will be time to SELL!”

 

A re-cap:

We are half-in for the month of May and the old adage of “sell in May and go away” has weakened as the new month measures thirteen (13) sessions with ten (10) positive and three (3) negative closes;

  • In the last five  (5) sessions, the iShares NASDAQ Biotechnology (IBB) was down in one (Tuesday) and up in four (4) session for an aggregate of positive +3.21% after Thursday’s +0.06% Wednesday’s +0.89%,  Tuesday’s -1.52%, Monday’s +1.03% and last  Friday’s +2.75%;
  • Thursday’s decliners ranged from -0.14% <MDXG -$0.01> to -5.57% <SAGE -$9.77> in 20 equities;
  • Thursday’s gainers ranged from +0.05% <ALNY +$0.05 > to +21.91% < BOLD +$7.44> in 23 equities;

 

The month of May – so far:

  • Thursday closed POSITIVE with 20 decliners, 23 advancers and 2 flats;
  • Wednesday closed POSITIVE with 15 decliners, 27 advancers and 3 flat;
  • Tuesday closed barely NEGATIVE with 21 decliners, 20 advancers and 4 flat;
  • Monday (May 14) closed POSITIVE with 10 decliners, 33 advancers and 2 flats;
  • Friday closed POSITIVE with 16 decliners, 29 advancers and 0 flat;
  • Thursday closed POSITIVE with 18 decliners, 26 advancers and 1 flat;
  • Wednesday closed POSITIVE with 12 decliners, 31 advancers and 2 flats;
  • Tuesday closed NEGATIVE with 28 decliners, 16 advancers and 1 flat;
  • Monday (May 7) closed POSITIVE with 15 decliners, 29 advancers and 1 flat;
  • Friday closed POSITIVE with 8 decliners, 34 advancers and 3 flat
  • Thursday closed NEGATIVE with 29 decliners, 11 advancers and 5 flats;
  • Wednesday closed POSITIVE with 15 decliners, 22 advancers and 8 flats;
  • Tuesday (May 1) closed POSITIVE with 15 decliners, 25 advancers and 5 flats;

 

Companies in my headlights:

BioLife Solutions (BLFS) closed up again +$0.40 to $9.06 after starting the week at $8.82, the previous Monday (5/7) at $7.82 having started the month at $7.16. There have been positives of exercising warrants with receipt of $2.6 M followed Q1/17 results with a +61% revenue growth trailed by a partial redemption of a Series A preferred (paying down debt vehicle) yet there is a +20.9% or $1.90 premium in the share’s pricing. Traders harvest the upside and never show mercy – SELL;

Cellectis SA (CLLS) closed up +$1.15 to $29.49 with 157.5 k shares traded <3 month average = 320.4 K shares>after Wednesday’s +$0.33 to $28.34 with 106.4 K shares traded. CLLS announced that Calyxt (CLXT) has commenced a follow-on public offering of 3.05 M shares which could cut operating dollars flowing to a “sub” – Maintaining BUY;

CRISPR Therapeutics (CSPR) closed up +$7.75 to $65.40 with 3.78 M shares traded <3 month average = shares>. Monday opened at $56.78 while the previous Monday (5/7) traded at $51.72 having started May 1st at $47.41. That’s a $8.62 or +13.18% premium in four (4) sessions, a $13.18 or +17.76% and in thirteen (13) and a negative aftermarket indication of -$0.15 or -0.23% - SELL;

Editas Medicine (EDIT) closed up +$0.92 to $37.98 and has an aftermarket upside of +$0.37 or +0.97%. May saw a low of $31.60 having started the month at $32.49; with a premium of $5.49 or +14.55% in the share’s pricing – I’d be selling into strength – SELL;

Intellia Therapeutics (NTLA) closed up +$0.69 to $25.98 with 997.2 K shares traded <3 month average = 1.147 M shares> and has an upside aftermarket of +$0.17 or +0.65%. Last Monday (5/11) traded at $23.74 while the previous Monday (5/7) traded at $21.73 with the month starting at $20.56. There is a premium of $5.42 or +20.8% in the share’s pricing – SELL;

uniQure (QYRE) closed down -$1.57 to $30.83with 250 K shares traded <3 month average = 381.4 K shares>. QURE presented preclinical data in three poster presentations at this week’s American Society of Gene and Cell Therapy (ASGCT) Annual Meeting in Chicago, Illinois. The posters highlight QURE’s expertise in efficient transduction of target cells within affected organs, showing that QURE’s modular platform is now broadly applicable to treat patients with both liver and central nervous system (CNS) disorders . The aftermarket indication is a positive +$0.40 or +1.30% - BUY;

Voyager Therapeutics (VYGR) closed up +$0.08 to $20.33 and a positive +$0.01 aftermarket upside. VYGR has announced new data presentations at the American Society of Gene and Cell Therapy (ASGCT) of results for VY-SOD101, which targets the superoxide dismutase 1 gene (SOD1), the first mutant gene discovered to be causal for the development of amyotrophic lateral sclerosis (ALS). The results demonstrated that a one-time administration of VY-SOD101 lowered SOD1 mRNA levels by 78% in the spinal cord motor neurons of non-human primates. Additional new data included tolerability data in non-human primates for VY-HTT01 for Huntington’s disease, along with previous data with VY-HTT01 that demonstrated a 54% suppression of huntingtin (HTT) mRNA in the non-human primate putamen after a single administration - BUY;

 

 

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.