April 12, 2021 7:35am
Friend or foe as futures slip, patterns are deceiving and Q1 earnings season begins this week
Pre-open indications: 1 BUY, 7 SELLs and 1 Maintain SELL
Mentions: ATHX, BSTG, VCEL, CRSP, EDIT, MDXG, NTLA, VSTM, RENE.L
My version of the morning’s “numbers” is written to be informative rather than just about changes to share pricing; it’s what happened or will materialize beyond the opening and what might happen in the session
My comments are important in trying to distinguish the temporary from real pricing progress.
Dow futures are DOWN -0.12% (-39 points), S&P futures are DOW -0.13% (-5 points) and NASDAQ futures are DOWN -0.27% (-38 points)
Futures ticked lower during early morning trading on Monday,
European markets retreated slightly,
Asia-Pacific markets declined with Indian stocks leading losses post a surge in Covid-19 cases in the country, while MSCI’s broadest index of Asia-Pacific shares outside Japan declined more than -1%.
Data Docket: The coming week is packed with Fed speeches and key economic data including an inflation reading on Tuesday, when the consumer price index is released.
Henry’omics:
The opening morning issue, markets are following yet another record close.
Last week, both the Dow and the S&P 500 climbed 2% while the Nasdaq jumped 3.1%.
Friday’s evening’s recap: “Just another sector beat-down. Investors expect higher volatility as Q1 ends but, we just finished reporting Q4 and FY10 as the sector shows little concern for fundamentals.” … https://www.regmedinvestors.com/articles/11859
- The Nasdaq closed UP +70.88 points (+0.51%);
- The IBB closed down -0.44% and XBI closed down -2.22%;
- Sector volume was LOW with 2 of the 5-upside having higher than the 3-month average volume with the volume of 4 of 26-downside having higher than the 3-month average volume;
- The CBOE Volatility Index (VVIX: INDEX) was down -0.26 points or -1.53% at 16.69;
- Friday’s percentage (%) of the 5-upside were +0.50% (BLFS) to +9.92% (RENE.L) while the 26-downside ranges from -0.22% (SAGE) to -6.59% (ADVM);
Q2/21 and April: 3 negative and 3 positive closes
Q1/21:
- March: 10 positive, 12 negative and 1 neutral closes
- February: 9 positive, 10 negative closes and 1 holiday
- January: 10 positive, 9 negative closes and 1 holiday
Companies in my headlights – It’s your decision; I provide an idea and context:
Biostage (BSTG): Questions continue … Maintaining Sell
Biostage (BSTG) closed flat again at $1.25 with 260 shares traded, after Thursday with 6 shares traded after Wednesday’s $1.25 with 967 shares traded, Tuesday’s -$0.05 to $1.25 with 2008 shares traded, and last Monday’s -$0.04 to $1.30 with 2401 shares traded.
Question#1: HOW many executives or management “team members” remain at the company? Is the website truthful and up-to-date regarding those WHO have left for other positions?
Question2: WHO is in charge of clinical and pre-clinical development?
MINORITY PUBLIC shareholders are waiting, watching and weighing responses to MAINTAIN their RIGHTS.
BUY:
Editas Medicine (EDIT) closed down -$1.30 to $39.46 after Thursday’s $40.76, Wednesday’s $40.40, Tuesday’s $42.64 and last Monday’s $42.86 with a positive +$2.54 or +6.44% pre-market indication.
SELL into any Strength:
ReNeuron (RENE.L) closed up to $1.33 and is up +$9.15 or +6.88% in the pre-market after Friday’s +$12.00 and Thursday’s -$5.00.
MiMedx (MDXG) closed up +$0.64 to $12.72 after Thursday’s $12.08 and Wednesday’s $12.04, Tuesday’s $12.18 and last Monday’s $11.34;
SELL:
Athersys (ATHX) closed down -$0.13 to $1.78 after Thursday’s $1.91, Wednesday’s $1.83, Tuesday’s $1.85 and last Monday’s $1.94 with a negative -$0.14 or -7.87% pre-market indication.
CRISPR Therapeutics (CRSP) closed down -$4.64 to $115.74 after Thursday’s $120.38, Wednesday’s $118.53, Tuesday’s $121.63 and last Monday’s $121.99 with a negative -$0.51 or -0.44% pre-market indication.
Intellia Therapeutics (NTLA) closed down -$2.44 to $70.64 after Thursday’s +$1.99 to $73.08, Wednesday’s $71.09 after Tuesday’s $79.62 and last Monday’s $80.23 with a negative -$0.64 or -0.01% pre-market indication.
Verastem (VSTM) closed down -$0.05 to $2.76 after Thursday’s $2.81, Wednesday’s $2.77, Tuesday’s $2.83 and last Monday’s $2.76 with a negative -$0.11 or -3.99% pre-market indication.
Vericel (VCEL) closed down -$2.05 to $57.77 after Thursday’s +$4.35 to $59.82, Wednesday’s $55.47 after Tuesday’s $55.54 and Monday’s $54.27 with a NO aftermarket indication; but an Icarus flight pattern.
The BOTTOM LINE: Friday, sector investors experience yet another “beat-down” as I have reiterated, “volatility sketches a contradictory picture of the short-term.”
Last week, the XBI lost -1.02% while the IBB lost 1.83% while volatility was down three (3) out of five (5) sessions.
Look at the Friday, Wednesday and Monday stats for comparisons:
- Friday’s percentage (%) of the 5-upside were +0.50% (BLFS) to +9.92% (RENE.L) while the 26-downside ranges from -0.22% (SAGE) to -6.59% (ADVM);
- Wednesday’s percentage (%) of the 3-upside were +0.12% (MESO) to +5.35% (SLDB) while the 30-downside ranges from -0.13% (VCEL) to -22.80% (FIXX);
- Monday’s percentage (%) of the 24-upside were +0.07% (EDIT) to +9.44% (PGEN) while the 8-downside ranges from -0.18% (SLDB) to -4.59% (AGTC);
Have you heard of Albert Einstein’s definition of insanity? The one where he says it’s “doing the same thing over and over again and expecting different results?”
I make a commitment to put “facts in evidence” as to tactical signals for sector equites.
I’m STILL a “beware or the cautious man” whose focus has always been “warning analysis” … my advice, trim and skim any new highs if one can!”
Welcome to my world of defining the “grey’ in our universe!
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.
