January 12, 2022 7:49am
After being oversold, when will the overbought syndrome materialize – a kill-joy statement but, soon to be true as it is happening already
Pre-open indications: 4 BUYs and 3 SELL
News flow: Mesoblast (MESO) <see below>
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 don't necessarily translate into actual trading in the coming day’s session.
Dow futures are UP +0.09% (+31 points), S&P futures are UP +0.07% (+4 points) and NASDAQ futures are UP +0.14% (+22 points)
Stock futures rose slightly early Wednesday as investors awaited the inflation report showing that prices rose at the fastest pace in nearly 40 years,
European markets inched higher waiting for U.S. inflation data
Asia-Pacific markets jumped in particular with China’s consumer price index up 1.5% in December compared to a year ago, lower than the 1.8% rise expected with Australia, South Korea and Japan following.
Economic Data Docket: The Labor Department's December consumer price index is due out at 8:30 a.m. ET on Wednesday. Economists expect the CPI to show a 0.4% gain, or 0.5% excluding food and energy. Overall consumer inflation is seen rising to a fresh long-term high of 7.1% from November's 6.8%. Core inflation is forecast to hit 5.5%, up from 4.9%.
Henry’omics:
From the title, “Expectation is a strong belief that something will happen or be the case in the future. While causation indicates that one event is the result of the occurrence of the other event; there is a causal relationship between the two events.
The market rally remains under pressure. The Nasdaq remains between its 200-day line and 50-day. The Russell 2000 is still significantly below its 50- and 200-day lines. The S&P 500, meanwhile, regained its 50-day and 21-day averages. The Dow is also above key levels. <IBD>
Cause and effect play an important part in the sector and market.
The overnight session followed a rebound in the market with the Nasdaq gaining more than 1% for a second (2nd) straight day of gains.
If you didn’t remember what happen Tuesday night and the last session of 2021’s close, you won’t be prepared for today’s session:
RegMed Investors’ (RMi) closing bell: “sector volatility works to our favor in this market. The oversold were recognized and mostly bought while a couple of new highs were sold and profited.” … https://www.regmedinvestors.com/articles/12253
Ebb and flow – January and Q1 to date:
- 1 neutral 4 negative and 2 positive closes
Companies in my headlights – It’s your decision; I provide an idea and context:
Probabilities versus aftermarket/pre-open share pricing indication moves:
SELL into Strength:
CRISPR Therapeutics (CRSP) closed up +$3.62 to $72.71 after Monday’s +$1.43 to $69.09, Friday’s +$0.48 to $67.66 and Thursday’s -$1.83 to $67.18 with a positive +$0.14 or +0.19% pre-open indication,
Intellia Therapeutics (NTLA) closed up +$1.01 to $195.24 with a positive +1.54 or +1.56% pre-open indication.
BUY:
Editas Medicine (EDIT) closed up +$0.07 to $25.75 after Monday’s +$0.56 to $25.70, Friday’s +$0.73 to $25.14, Thursday’s -$0.19 to $24.41, Wednesday’s -$1.80 or -6.82% to $24.60 and last Tuesday’s -$1.23 to $26.40 with a positive +$0.24 or +0.93% pre-open indication
Mesoblast Limited (MESO; ASX: MSB) closed up +$0.12 to $4.77 with a positive +$0.01 or +0.21% pre-open indication based on 36-month follow-up results from the 404-patient Phase 3 trial of its allogeneic cell therapy rexlemestrocel-L (MPC-06-ID) in patients with chronic low back pain (CLBP) associated with degenerative disc disease (DDD). Mesoblast CEO Dr Silviu Itescu presented results from the three-arm trial at the 2022 Biotech Showcase event being held this week, which showed durable reduction in back pain lasting at least three years from a single intra-discal injection of rexlemestrocel-L+hyaluronic acid (HA) carrier.
uniQure NV (QURE) closed down -$0.13 to $19,37 with a positive +0.12 or +0.62% pre-open indication
Maintaining BUY:
Vericel (VCEL) closed down -$0.36 to $38.58 after Monday’s +$2.46 to $38.94, Friday’s -$1.96 to $36.448, Thursday’s $38.44 and last Wednesday’s $38.44 with a positive +$0.12 or +0.31% preopen indication.
Maintaining SELL:
Biostage (OTCQB: BSTG) closed up +$0.87 to $3.20 after Monday’s -$0.03 to $2.33 with 2,076 shares traded, Friday’s +$0.03 to $2.36 with 300 shares traded, Thursday’s flat with 1,165 shares traded, and last Wednesday’s +$0.01 with 262 shares traded. Will the “pump and promote” i.e., continue to stimulate BUYING volume and share price appreciation? Notice how the shares traded with and without the manipulated share pricing by volume stimulation; just an example of a “House of Cards” – just a game of “fake because they can’t make it?
The BOTTOM LINE: The sector remained under pressure but, did appreciate the previous lows to close positive by a better margin) with a modified advance/decline line of 22/11) after Monday’s neutral (advance/decline line of 16/16).
I’m saw some pullback of Monday’s highs (4 of 10) versus Tuesday’s 22 ups while 5 of the 11 were trounced by downward sector moves.
What will the third morning of the J.P. Morgan Healthcare Conference hold – for news?
The “BUY” zone is still questionable but, there’s room for oversold movement, I am NOT changing my position, “Brace for more choppiness as we move further into the month and the beginning of Q4/21 Q4 and end-of-year numbers”.
- I say today what others won't, so you can do what others can't whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors
So, my bottom of the Bottom Line, Investors should be extremely cautious about adding any new exposure.
- 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 reporting on 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.
