July 10, 2020 8:02am

Face masks and Level 111A portfolio (body) armor suggested

Pre-open indications: 3 BUYS, 1 SELL on toxic review and 3 SELLs into Strength   

What I provide is an intelligence daily. Where are the canaries in the sector coal mine, am I the only one? 

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Dow futures are DOWN -0.50% (-127 points), S&P futures are DOWN -0.42% (-14 points) and NASDAQ futures are DOWN  -0.34% (-36 points)

 

Stock futures fell in pre-market trading Friday following a mixed session of increasing coronavirus concerns;

European markets inclined as data showed Italian industry output rebounding more strongly than expected in May;

Asia Pacific markets fell across the board as investors remained cautious due to the growing number of coronavirus cases;

 

Henry’omics:

We are supposedly in for a wild or a push-back session …

The coronavirus, COVID-19 or Wuhan emanating strain is not being contained, recovery has weakened and “the machines” are about to attack or maybe not – but, declines are in our future. Let’s not hope that deep share pricing penetration … is minimalized.

Or maybe it’s a feint for deeper cuts coming but, it has to start somewhere …

 

Thursday night’s post title - a recap: “abrupt sector reversal, another I told you so … from this a.m.’s post, “new and newer highs always tell me to say bye.”

  • The NASDAQ closed UP +55.25 points (+0.53%);
  • The IBB closed down -0.17% and XBI also closed down -0.57%
  • Sector volume was LOW with 5 of the 10-upside having higher than the 3-month average volume and 1 out of the 24-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was up +1.18 points or +4.20% at 29.26;
  • Thursday’s percentage (%) of the 10-upside were +0.80% (BSTG) to +3.57% (ATHX) while the 24-downside ranged from -0.16% (CRSP) to -5.66% (CLBS); 

 

Q3:

Thursday closed negative with 10 advancers, 24 decliners and 1 flat

Wednesday closed positive with 28 advancers, 5 decliners and 2 flats

Tuesday closed positive with 18 advancers, 12 decliners and 5 flats

Monday closed positive with 19 advancers, 15 decliners and 1 flat

Friday was a market holiday;

Thursday closed positive with 18 advancers, 14 decliners and 3 flats

Wednesday (7/1) closed positive with 24 advancers, 7 decliners and 4 flats

 

 

Companies in my headlights – It’s your decision; I provide an idea and context:

Maintaining Sell:

Biostage (BSTG) – closed up +$0.02 after Wednesday’s -$0.01 after Tuesday’s -$0.09; serious questions of transparency, ethics, lack of experienced management talent and loss of executive team. BSTG trades with day traders, NO institutions or major firms will touch it as the FBI launches investigations into Chinese owned firms with U.S. listings (FACT);

 

SELL into Strength:

Brainstorm Cell Therapeutics (BCLI) closed up +$0.34 or +2.65% to $13.17 and has a negative -$0.02 or -$0.155 aftermarket indication. BCLI’s P2a trial (BCT-201-EU) is expected to enroll approximately 40 patients with prodromal to mild AD. It will be taking place at medical centers in France and the Netherlands and it will take BIG bucks to facilitate;

CRISPR Therapeutics (CRSP) closed down -$0.15 to $94.02 after Wednesday’s  +$2.76 or +3.02% to $94.17 after Tuesday’s +$7.30 after Monday’s +$4.41 or +5.53% to $84.11 after last Thursday’s +$1.20, Wednesday’s +$5.01, Tuesday’s -$1.56 and the previous Monday’s +$1.01 and has No aftermarket indication, however, it does have a positive +$0.68 or +0.725 aftermarket indication. Again, time to let some air out of the tires;

Fate therapeutics (FATE) closed down -$1.36 or -3.615 to 436.35 and has a negative -$0.35 or –0.96% aftermarket indication;

 

BUY

Applied Genetic Technologies (AGTC) closed up +$0.13 to $6.11 and has a positive +$0.17 or +2.78% aftermarket indication;

BioLife Solutions (BLFS) closed down -$0.08 to $17.91 after Wednesday’s +$0.41 or +2.3% to $17.99 after an offering priced at $14.50 and has a positive +$0.59 or +3.29% aftermarket indication;

Regenxbio (RGNX) closed up down -$0.55 after Wednesday’s +$1.20 or +3.18% to $38.91 after Tuesday’s +$1.50 to $37.71 after Monday’s -$1.89 and Thursday’s -$0.65. and has a positive +$0.23 or +0.61% aftermarket indication;

 

 

The BOTTOM LINE: Concerns about spiking coronavirus cases in the U.S. and elsewhere continue to weigh on the current recovery path.

Futures are struggling, markets are hunkering down waiting for the bombardment of high frequency algorithmic rules (used to be call ‘gas attacks”.

What should we be protecting ourselves with body armor – to defy the impact and shrapnel of high frequency data and daily COVID-19 infection?

We survived worse so let’s suit up and seek shelter if you have not already re-risked your portfolio.

 

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.