January 7, 2019 8:12am
Who and when is the upside of the fairest of them all? Conjecture is in the air!
It will cost you more to see and hear them present than you have made off equities’ return in years!
Another “event” to talk about: Eli Lilly (LLY pre-market -$3.13 or -2.73% to $111.53) will buy Loxo Oncology (LOXO pre-market +$91.32 or +65.29% to $230.75) for about $8 B. The offer was $235 per share in cash. Last year, U.S. regulators approved Loxo's first commercial medicine, Vitrakvi, which was shown to be effective against a wide variety of cancers driven by a single, rare genetic mutation. The drug is sold in partnership with Bayer. Sage Therapeutics’ (SAGE pre-market +$30.49 or +31.27% to $128.00 after closing at $97.51) oral treatment for postpartum depression met the main goal of reducing symptoms of the condition, when compared to a placebo in a late-stage study. Patients treated with SAGE-217 showed an improvement in the Hamilton Rating Scale for Depression that scores a patient on 17 different parameters, including anxiety and insomnia after two weeks of treatment, the study results showed. The improvements were maintained until the end of the follow-up period in the fourth week.
An indication can be a development of almost any kind. Specifically, it may be a confirmed fact, a possible fact, or an absence of “something”, a fragment of information or even an observation. The sole provision is that it provides insight to provide some vision into a likely course of action.
I answer one question, in which company should investors put, keep and commit their money!
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 and evaluated.
U.S. stock index futures are mixed and fluttering
Dow futures are UP +0.18% (+43 points) and NASDAQ futures are UP +0.01% (-1 point)
U.S. stock index futures were flipping to start Monday, with market focus largely attuned to trade talks between Chinese officials and their American counterparts;
European stocks turn lower despite US-China trade talks
Asia markets jump amid US-China trade talks
Data docket: ISM non-manufacturing figures for December are expected to be released at around 10:00 a.m. ET.
The iShares Nasdaq Biotechnology (IBB) is indicating a POSITIVE +0.49% UPSIDE
The SPDR S&P Biotech ETF (XBI) is NOT indicating a POSITIVE +1.46% UPSIDE
The Health Care Select Sector SPDR ETF (XLV) is indicating a NEGATIVE -0.1% DOWNSIDE
The iShares Russell 2000 (IWM) is indicating a NEGATIVE -0.29% DOWNSIDE
In a week that should be ... the JPMorgan healthcare conference ... the question is STILL ... are we poised to pull back or advance?
Is it a good, bad or ugly truth week?
Last night’s closing post, “the Gathering of the oversold was a Quickening of value. As in the “Highlander” movie, the “Gathering” is a byproduct of a share pricing “Quickening” as the IBB has a pre-market indication of +1.29%, then jumps +5.03%; a response and influence controlling the Wall Street “Game”. The end result is the same: the sectories still have an irresistible urge to not guide their own kind of uncertainties and risk challenges letting algorithms and traders set the course of events.”
I also stated, “Friday’s session was due a bounce, but at the same time, the major issues facing the sector are not resolved; we have potential Q4/18 earnings shortfalls upcoming!”
Friday night’s percentage (%) indicators:
- Review the range of the 40 upside from +0.49% (FIXX) to +22.10% (HSGX +$0.04 to $0.22) while the 5 downside ranged from -0.12% (MDXG) to -6.94% (AST) with a 0 flat close.
- 21 out of the 40 upside had higher (than the 3 month average) volume
- 2 out of the 5 downside experienced greater volume (than the 3 month average)
Tracking the closes:
In s sessions in January – there was 2 positive closes and 1 negative close – so far!
- Friday closed POSITIVE with 5 decliners, 40 advancers and 0 flats;
- Thursday closed NEGATIVE with 32 decliners, 11 advancers and 2 flats;
- Wednesday (1/3/19) closed POSITIVE with 11 decliners, 34 advancers and 0 flats;
Q4 and end-of-year:
- In 21 sessions in December – there were 8 positive close; 1 neutral, 2 market closes and 10 negative close;
- In 22 sessions in November – there were 1 holiday, 10 positive closes, 1 neutral and 10 negative closes;
- In 23 sessions in October – there were 17 negative closes and 6 positive sessions;
Companies in my headlights – It’s your decision; I provide an idea and context: I’d be STAYING on the sidelines for a day or two …
A better investment for the JPMorgan healthcare conference – hotels and Airbnb’s
Contrary to what ‘some’ of the pundit think and are obsessed about – it is beyond the words to use or not in presentations, pink or yellow socks, who is supporting the poor in SF while staying in a $700 a night hotel, drinking beer at the hotspots and how many women are in CEO positions – it is about which managements can EXECUTE and KEEP their share price upward in a hostile environment!
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.