November 4, 2021 8:01am

I’m recommending “tapering” sector BUYs with SELLs as the Nasdaq has rallied for eight (8) straight sessions with the sector up three (3) sessions after the previous two (2) week’s eight (8) up and two (2) down sessions. The question is, the sector close to being extended as earnings season drags LPS (loss-per-share) deeper? If selling, do it into strength!

Earnings: Sangamo Therapeutics (SGMO), Intellia Therapeutics (NTLA) and Caladrius Biosciences (CLBS)

Pre-open indications: an all-in mostly out, 8 SELLs, 5 BUYs with 1 Pump (or No Promote)

What I provide is an intelligence daily. RMi outlines a daily bell weather of “indications” about what you need to know; it’s what could happen or materialize after the opening and what might happen during the session.

Remember that overnight and pre-open actions in futures doesn't necessarily translate into actual trading in the coming day’s session.

Dow futures are DOWN -0.02% (-7 points), S&P futures are UP +0.14% (+6 points) and NASDAQ futures are UP +0.38% (+61 point)

 

U.S. stock index futures were mixed and basically low during early morning trading on Thursday,

European stocks moved higher as global markets reacted to the U.S. Fed’s announcement that it will start to taper its bond-buying program,

Shares in Asia-Pacific stocks rose also following the Fed’s announcement and after major U.S. averages closed at records on Wednesday.

 

Economic data docket: weekly jobless numbers will be released, with economists forecasting 275,000 first-time claims, according to estimates. Last week’s number came in at a 281,000, the lowest since the pandemic began.

 

Henry’omics:

Indexes are looking strong with broad strength; but there are some signs that the Nasdaq, which has rallied for eight (8) straight sessions and 14 of the last 16, is close to being extended.

Also, as the bond taper ends, Fed rate hikes could be on the table.

But is the stock market rally due for a pause?

The biggest risk that it's doing too well. Investors may want to consider taking some partial profits in some winners, especially if they're getting significantly extended from short-term averages.

 

Note: Moderna (MRNA) shares is cratering (pre-open -$37.23 or -10.76%) after the drugmaker slashed its Covid-19 vaccine revenue forecast for the year to between $15 billion and $18 billion from $20 billion. Last night, the equity was last down about -$2.72 or -0.78%%.

 

If you didn’t remember what happen at Wednesday night’s close and the quarter’s “number’s” impact, you won’t be prepared for today’s session:

Wednesday’s evening’s recap: “markets and sector, the big casino. I’m selling because a conflagration is coming and keeping the “mag” dry.” … https://www.regmedinvestors.com/articles/12167

Q4: November, 3 positive closes

  • October, 8 positive and 13 negative closes

 

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

SELL with a Pump or no promote:

Biostage (BSTG) closed down -$0.40 to $2.60 with 1,208 shares traded, after Tuesday’s -$0.10 to $3.00 with 200 shares traded following Monday’s flat again with 80 shares traded and last Friday’s flat with 95 shares traded.

  • What’s there to invest in – the “Sword of Damocles” hanging over its recent insurance company rejection of legal expense/costs of a terminal death suit against the company?
  • For a company with NO clinical trial, an a one (1) and a half year approved IND, four (4) employees and NO CRO <clinical research organization> initiation.

 

Probabilities versus aftermarket/pre-open share pricing indication moves:

SELL:

AxoGen (AXGN) -$0.62 or -3.97%,

BioLife Solutions (BLFS) -$0.41 or -0.70%,

Editas Medicine (EDIT) -$0.33 or -0.85%

 

Maintaining SELL:

Intellia Therapeutics (NTLA) -$0.91 or -0.67% earnings today,

uniQure NV (QURE) -$0.88 or -2.45%,

Vericel (VCEL) -$1.03 or -2.06%,

Voyager Therapeutics (VYGR) -$0.04 or +1%

 

SELL from BUY:

bluebird bio (BLUE) -$0.46 or -1.85%,

 

BUY from SELL:

Alnylam Pharmaceuticals (ALNY) +$0.52 or +0.30%,

CRISPR Therapeutics (CRSP) +$0.77 or +0.79%,

Global Blood Therapeutics (GBT) +$0.13 or +0.32%,

MiMedx (MDXG) +$0.11 or +1.36%,

ReNeuron (RENE.L) +$2.89 or +2.75%

 

The BOTTOM LINE: As I had stated, “I am building a cash reservoir for I believe this market and sector is about to take a dive!”

We are seeing to date, eleven (11) net losses to date <uniQure (QURE), Alnylam Pharmaceuticals (ALNY), Regenxbio (RGNX), Sage Therapeutics SAGE), Ultragenyx Pharmaceuticals (RARE), Voyager therapeutics (VYGR), Solid Biosciences (SLDB), Ionis Pharmaceuticals (IONS), CRISPR Therapeutics (CRSP) and AxoGen (AXGN)> earning’s releases that initiated Q3 earnings reporting season and beginning the tug-of-war between share pricing that is softer than usual and the usual LPS (loss-per-share) to be less than estimates and expectations.

It's highly risky to buy a stock just before earnings, and investors may want to take whole or partial profits on holdings with tiny gains.

Expected Q3 earnings … might seemed to lift sentiment for equities; however, illusions are known to exist in a ‘desert” of down sessions after last month – the latest three (3) up session are just a litmus test of advance/decline line of being oversold.

The stem, cell and gene therapy earnings with Cellectis SA (CLLS) on 11/5, Editas Medicine (EDIT) on 11/8, Applied Genetic technologies (AGTC), Vericel (VCEL) on 11/9, Athersys (ATHX) and Brainstorm Cell Therapeutics (BCLI) coming 11/15 (to date).

I’m STILL a “beware or the cautious man” whose focus has always been “warning analysis” … earnings’ season is NOT over … my advice, trim and skim any new highs if one can!”

RMi’s daily report is a primer that may say little or a lot; yet it serves as insurance that all indications are being examined and evaluated.

WHY do I keep analyzing Biostage (BSTG): When one sees an inextricable wrong and morally repulsive scenario; it takes courage, resolve and patience to stay the course of asking the questions without response!

 

 

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.

Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.