March 14, 2019 8:30am
Keep moving yet eyeball the position you want to play or nay
But, judging when that moment comes is another matter
Q4 and FY18 “earnings” results: BioLife Solutions (BLFS), BioTime (NYSE American: BTX) and Caladrius Biosciences (CLBS)
Pre-open indications: 4 SELLs and 3 TRADEs
I focus on indication analysis; 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.
Skim if you can trim, buy if it will fly and sell if compelled!
U.S. stock index futures are slipping after market participants reacted cautiously to mixed economic data from China.
Dow futures are DOWN -0.08% (-21 points), S&P futures are DOWN -0.05% (-2 points) and NASDAQ futures are UP +0.01% (-2 points)
European markets rally amid Brexit confusion;
Asia Pacific markets traded mixed after data showed growth in China’s industrial output fell to a 17 year low as British lawmakers overnight rejected the idea of leaving the European Union without a Brexit deal in place.
Data docket: Weekly jobless claims and import prices for February will be released at 8:30 a.m. ET. New home sales for January are set to follow slightly later in the session.
Thursday’s indications in the pre-market:
The iShares Nasdaq Biotechnology (IBB) is indicating a POSITIVE +1.31% UPSIDE;
The SPDR S&P Biotech ETF (XBI) is indicating is indicating a POSITIVE +1.91% UPSIDE;
The Health Care Select Sector SPDR ETF (XLV) is indicating a NEGATIVE -0.10% DOWNSIDE;
The iShares Russell 2000 (IWM) is indicating NO direction
I am prepared for a volatility pick-up between today and Friday’s “Ides of March” as I relate to quadruple witching.
While implied volatility, as measured by the Cboe Volatility Index VIX picked up last week as major stock indexes suffered a five-day losing streak, the trend has been solidly lower.
The gauge, which uses options to measure expected volatility in the S&P 500 over the coming 30-day period, remained below 14 Wednesday after having closed Dec. 24 at 30.11.The long-term average for the index stands near 19.
Volatility has distinct ebbs and flows, it should not be a surprise that quiet has prevailed; but in many ways the quiet is almost eerie, given the uncertainties, the last 6 months’ market action <MarketWatch>.
From Wednesday’s closing bell post, “the sector perks-up. Five (5) positive closes in a row with seven (7) out of nine (9) positive closes. Is it about covering; because I have an itch … it’s the volatility bug! Volume remains low: 1 out of the 12 upside had higher (than the 3 month average) volume and 11 out of the 30 downside experienced greater volume (than the 3 month average).”
- Range of the 30 upside was +0.05% (CRSP) to +6.80% (BTX) while the 12 downside ranged from -0.21% (EDIT) to -4.26% (KOOL -$0.014).
- Volume stat: 1 out of the 12 upside had higher (than the 3 month average) volume and 11 out of the 30 downside experienced greater volume (than the 3 month average)
- In March’s 9 sessions, there were 2 negative and 7 positive closes;
- In the last three (3) sessions, the IBB was up +4.27%
Companies in my headlights – It’s your decision; I provide an idea and context:
Cellectis SA (CLLS) closed up +$0.16 to $18.87 after Tuesday’s +$0.35 to $18.71 and Monday’s+$0.32 to $18.36 following Q4 and FY18 results were released but, there is a negative -$0.32 or -1.70% aftermarket indications – Maintaining SELL;
CRISPR Therapeutics (CRSP) closed up +$0.02 to $39.43 after Tuesday’s +$0.34 to $39.41 and Monday’s +$1.34 to $39.04 and has NO pre or aftermarket indication – TRADE;
Editas Medicine (EDIT) closed down -$0.05 to $24.22 after Tuesday’s +$0.43 to $24.27 and Monday’s +$1.24 to $23.84 with NO pre or aftermarket indication – TRADE;
Intellia therapeutics (NTLA) closed down -$0.34 to $16.49 after Tuesday’s +$0.25 to $16.83 and Monday’s +$0.89 to $16.58 without a pre and aftermarket indication – TRADE;
Stemline Therapeutics (STML) closed up +$0.60 to $13.51 after Tuesday’s +$1.86 to $12.91, Monday’s $0.57 to $11.05 and Friday’s +$0.60 to $11.62 and had news, Monday, STML expanded its oncology pipeline. STML does not have a pre or aftermarket indication and in five sessions has a strength premium of $2.49 – BUY to SELL;
ReNeuron (RENE.L) is trading down -$2.60 at $69.90 following Wednesday’s $72.50 post Tuesday’s at $74.50 after Monday’s $82.50 - Maintaining SELL;
Verastem Oncology (VSTM) closed up +$0.11 to $3.35 after Tuesday’s+$0.27 to $3.24 however, Q4 and FY18 was NOT quite up to snuff - A Q4 loss of $11.7 M or $0.37 per share versus “street” estimate of a loss of $0.54 compares to loss of $0.43 per share a year ago. There is ALSO a negative -$0.05 or -1.495% pre and aftermarket downside – Maintaining SELL
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.