March 26, 2019 7:47am
Sector equities eked out a small gain on Monday; Tuesday, we should see through the forest and a path to the upside
As I stated, “WHAT is the sector about … REPAIR and REPLACE which will also be about their share pricing!”
Pre-open indication: 2 BUYs and 3 TRADEs
My focus is 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!
My blend of two styles “quantamental” has become common parlance among investors and traders.
Dow futures are UP +0.53% (+135 points), S&P futures are UP +0.48% (+14 points) and NASDAQ futures are UP +0.47% (+35 points)
U.S. stock index futures were higher Tuesday morning, as investors focus on what the bond market is signaling about the economy;
European stocks slightly higher as recession fears fade;
Asian markets were mixed as stocks in Japan bounced back partially on Tuesday after the previous day’s heavy losses as concerns over the global economy weighed on investor sentiment while mainland Chinese shares closed lower, with the Shanghai composite slipping 1.51%
Data docket: housing starts and building permits out at 8.30 a.m. ET. Also there will be consumer confidence figures as well as the Richmond Fed surveys at 10 a.m. ET.
Tuesday’s indications in the pre-market:
The iShares Nasdaq Biotechnology (IBB) is NOT indicating;
The SPDR S&P Biotech ETF (XBI) is indicating a POSITIVE +0.91% UPSIDE;
The Health Care Select Sector SPDR ETF (XLV) is NOT indicating;
The iShares Russell 2000 (IWM) is indicating a POSITIVE +0.71% UPSIDE;
Wall Street closed Monday with small gains. News that the special counsel Robert Mueller did not find evidence that President Donald Trump colluded with Russia in the 2016 presidential race bolstered the markets by removing some uncertainty. Investors were also hopeful that with the Mueller investigation out of the way, Trump will turn his attention to cementing trade deals. Overall, however, concerns regarding the global economy capped market gains <CNBC>.
Hoping and EXPECTING more upside from today’s sector!
From Monday’s closing bell post, “after a weak start, the sector’s upside survives NASDAQ’s decline as the pre-open post stated, “Oversold, there are many … yet, for the lack of news – any momentum will be based on trading and sentiment which is considered a glass half full or half empty! Also, markets showed little reaction to the end of Special Prosecutor Mueller’s probe into the 2016 election, I believe many investors, traders and Americans are just fed up with the vitriol.”
- Range of the 23 upside was +0.06% (VCEL) to +6.51% (VYGR) while the 21 downside ranged from -0.05% (OSIR) to -15.20% (CUR -$0.091);
- 5 out of the 23 upside had higher (than the 3 month average) volume;
- 8 out of the 21 downside experienced greater volume (than the 3 month average);
- In March’s 17 sessions, there were 6 negative and 11 positive closes;
- In the last five (5) sessions, the IBB has been down -4.97% - there should be an upswing coming.
Companies in my headlights – It’s your decision; I provide an idea and context:
BioLife Solutions (BLFS) closed down -$0.75 to $18.78. One of the few net incomes for Q4 and FY18 but, it does get expensive. March started out at $19.42, February at $16.37 and January at $12.00 – so; there has been room for “retreating” from the newest high. I also think that BLFS is a buyout candidate – BUY;
bluebird bio (BLUE) closed down -$0.42 to $146.22 after Friday’s $146.64 Thursday’s $156.18, Wednesday’s $153.58 and last Tuesday’s $156.10. OVERSOLD – BUY;
uniQure NV (QURE) closed down -$1.48 to $61.95 and has a positive +$0.46 or +0.75% aftermarket indication. QURE saw Friday ending at $63.43, Thursday at $68.41, Wednesday at $65.82 and last Tuesday’s $66.46 – BUY;
CRISPER Therapeutics (CRSP) closed down -$1.40 to $34.19 and has a negative -$0.49 or -1.42% aftermarket indication – TRADE;
Editas medicine (EDIT) closed up +$0.19 to $22.80 with NO aftermarket indication. Last Friday, EDIT traded at $22.61, Thursday at $24.74, Wednesday at $24.12 and last Tuesday at $23.11. OVERSOLD – TRADE;
Intellia Therapeutics (NTLA) closed up +$0.11 to $16.27 with NO aftermarket indication. Friday closed at $16.16, Thursday at $17.62, Wednesday at $16.96 and last Tuesday at $16.86. DRIBBLING – TRADE;
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.