January 14, 2022 7:57am

Following a very weak Thursday aftermarket and a month’s toll of 1 neutral 6 negative and 2 positive closes

Pre-open indications: 3 BUYs and 5 SELL

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 DOWN -0.21% (-76 points), S&P futures are DOWN -0.28% (-13 points) and NASDAQ futures are DOWN -0.47% (-73 points)

 

U.S. stock futures recoiled during early morning trading on Friday, as the early market action follows a day in which a slew of Fed speakers said they expect to start raising interest rates in March.

European markets pulled back following hawkish comments from U.S. Fed officials,

Asia-Pacific markets were lower as Japan, South Korea, Hong Kong and mainland China struggled for direction.

 

Economic Data Docket: December retail sales numbers - expected to show a decline of 0.1%. Industrial production numbers will also be reported - expecting a 0.2% rise. Consumer sentiment figures will also be released.

 

Henry’omics:

Thursday, the Nasdaq tumbled to its worst close since October while the S&P 500 slid below key support.

The Dow fell 0.5% in Thursday's stock market trading after being up for much of the session. The S&P 500 index slumped 1.4%, with ServiceNow the worst performer. The Nasdaq composite skidded 2.5%. The small-cap Russell 2000 lost 0.8%.

With Thursday’s move lower, the major averages are now in negative territory for the week. The Dow and S&P are on track for their second straight negative week, while the Nasdaq is on track for a third week of losses. <CNBC

 

If you didn’t remember what happen Thursday night and the last session of 2021’s close, you won’t be prepared for today’s session:

RegMed Investors’ (RMi) closing bell: “RegMed Investors’ (RMi) closing bell: sector is still shackled by selling. Not much worked today, with sector blood spilt on the streets.” …  https://www.regmedinvestors.com/articles/12257

 

Ebb and flow – January and Q1 to date:

  • 1 neutral, 6 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:

BUY:

Homology Medicine (FIXX) closed down -$0.05 to $3.65 with a positive +$0.45 or +12.33% pre-open indication

Ionis Pharmaceuticals (IONS) closed up +$0.28 to $32.13 after Wednesday’s $31.85, Thursday’s $31.35 and last Friday’s $30.51 with a positive +$0.37 or +1.155 pre-open indication.

Fate Therapeutics (FATE) closed down again -$2.85 to $42.20 after Wednesday’s -$2.49 to $45.05 with a positive +$0.30 or +0.71% pre-open indication.

 

SELL from BUY:

Editas Medicine (EDIT) closed down -$1.63 to $21.87 after Wednesday’s -$2.27 to $23.55, Tuesday’s +$0.07 to $25.75, Monday’s +$0.56 to $25.70 and last Friday’s +$0.73 to $25.14 with a negative -$0.18 or -0.82% pre-open indication

CRISPR Therapeutics (CRSP) closed down -$2.85 to $69.86 after Tuesday’s +$3.62 to $72.71, Monday’s +$1.43 to $69.09, Friday’s +$0.48 to $67.66 and last Thursday’s -$1.83 to $67.18 with a negative -$0.47 or -0.71% pre-open indication,

Intellia Therapeutics (NTLA) closed down again -$8.61 to $89.35 after Wednesday’s   -$7.28 to $97.96 after Tuesday’s +$1.01 to $105.24 with a positive +0.14 or +0.16% pre-open indication.

 

Maintaining SELL:

Mesoblast (MESO) closed down -$0.14 to $4.69 after Wednesday’s+$0.06 to $4.83 with a negative -$0.07 or -1.49% pre-open indication.

Biostage (OTCQB: BSTG) closed up +$0.63 to $4.60 after Wednesday’s +$0.77 to $3.97, Tuesday’s +$0.87 to $3.20, Monday’s -$0.03 to $2.33 with 2,076 shares traded and last Friday’s +$0.03 to $2.36 with 300 shares traded. Is there a reason for the “pump and promote”; are they trying to reverse or convert the non-registered shares from the multiple overpriced private placement (without any valuation models) to register shares beginning a “raise” protecting non-U.S. investors?

 

 

The BOTTOM LINE: The cell and gene therapy sector is treacherous to BUY and even SELL into …

The sector hit resistance slipping further on Thursday and Wednesday’s negative closes after Tuesday’s sector positive close and Monday’s neutral close.

There's also nothing wrong with staying “pat”, selling losers and buying a few potential “poppers” or saying in cash, waiting for real market strength. The Nasdaq is stuck below its 21-day and 50-day lines, along with many stocks.

Sector equities remained under pressure i.e., resistance as earnings season is right around the corner.

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 FATE, CRS, securities referred to in this publication.