April 11, 2022 7:30am
To depend on just being oversold is a knee-jerk reaction; yet real in a shortened trading week by Good Friday
Pre-open indications: 3 BUYS, 3 SELLs and 1 Pimp/Pump/Promote
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.
Just the facts … I ask questions and note the indications of what could happen …
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 -0.39% (-136 points), S&P futures are DOWN -0.72% (-32 points) and NASDAQ futures are DOWN -1.22% (-174 points)
Stock futures declined in pre-market trading Monday morning in a shortened week by Good Friday holiday,
European markets were slightly lower,
Asia-Pacific markets were lower reacting to China's inflation data for March and the Covid lock-down on the mainland, Japan was also down although Australia bucked the trend.
Henry’omics:
Last Friday, the Dow climbed 137.55 or +0.40%, the S&P dived 11.93 or -0.27% while the Nasdaq dumped -186.30 or -1.34%
All major averages declined for the week, with the S&P 500 dropped -1.27% and Nasdaq 3.86%.
Waiting for the hammer to drop, “The fight against inflation is likely to be a market driver this week. Investors will get a look at fresh data, with the consumer price index for March due out on Tuesday (-8.4% ugly consensus due) and the producer price index following on Wednesday.” <CNBC>
RegMed Investors’ (RMi) closing bell: “it will pay to be early in buying newest bottoms. I am never totally wrong, more than frequently right and always early on predictions.” … https://www.regmedinvestors.com/articles/12381
Ebb and flow –
Q2/22 – 1 positive and 4 negative closes
Q1/22:
· March – 13 negative and 10 positive closes
· February stats: 11 negative, 8 positive closes and 1 holiday
· January stats: 2 holidays, 1 neutral, 13 negative and 6 positive closes
Research Notes:
RegMed/Cell and Gene Therapy Earnings Scorecard Q4/21 and FY21 Results … https://www.regmedinvestors.com/articles/11628 ... (35 to date -some dropped a couple added)
Companies in my headlights – It’s your decision; I provide ideas and context: INDICATIONS, POSSIBILITIES and POTENTIALS …
BUY:
Beam Therapeutics (BEAM) closed down again -$1.60 to $51.77 after Thursday’s -$1.43 Wednesday’s -$1.65, Tuesday’s -$5.90 and last Monday’s +$2.41 with a positive +$2.23 or +4.31% pre-open indication
Caribou Biosciences (CRBU) closed down -$0.06 to $8.26 after Thursday’s -$0.39 with a positive +$0.40 or +4.84% pre-open indication.
BioLife Solutions (BLFS) closed down -$1.69 to $20.22 after Thursday’s -$0.05, Wednesday’s -$0.84, Tuesday’s -$1.40 and last Monday’s +$0.58 with a positive +$0.60 or +2.97% pre-open indication. A new “name” auditor, Grant Thornton after a late 10-K (annual report) and SEC non-compliance action.
SELL:
Editas Medicine (EDIT) closed down again -$0.73 to $18.35 after Thursday’s -$0.67, Wednesday’s -$0.58 to $19.75, Tuesday’s -$1.02 and last Monday’s +$1.13 with a negative -$0.23 or -1.25% pre-open indication,
CRISPR Therapeutics (CRSP) closed down again -$2.32 to $61.62 after Thursday’s -$2.18, Wednesday’s -$1.36, Tuesday’s -$2.03 and last Monday’s +$3.36 with a negative -$0.15 or -0.24% pre-open indication.
Intellia Therapeutics (NTLA) closed down -$2.96 after Thursday’s -$.59, Wednesday’s -$2.61 and Tuesday’s -$6.05 with a negative -$0.57 or -0.90% pre-open indication
Pimp/Pump and Promote:
Biostage (BSTG) closed up +$0.50 with 3,139 shares traded after Thursday’s -$0.63 to $5.30, Wednesday’s -$0.05 with 1,527 shares traded, Tuesday’s +$0.59 with 8,743 shares trading and last Monday +$0.49 with 8,809 shares traded.
- WARNING: WHY BUY this equity with a 3-year-old IND, NO clinical trial initiation, a terminal death lawsuit overhang and a precarious financial position dependent on a possible cash infusion? Also, WHY the pump of the volume to gain share appreciation – they have to reverse the multiple private placements (the priciest was $4.71) for a potential/proposed stock offering.
The BOTTOM LINE: I stated on the Friday a.m. post: “Be bold for the oversold. Lows are looking appetizing, as an upside reversal found support of key levels on Thursday.”
It didn’t quite hurdle the resistance after the week’s four (4) negative closes.
Even I expected the oversold to at the least gain some altitude. I can write that I was wrong but, it’s all also about being … EARLY.
I am more than worried about pricey valuations that (in my mind’s eye) have NO basis.
The oversold need chance to appreciate from being oversold.
My version of a relevant quote from Barrons, “The summer of the stock market’s discontent might have started early, with a negative first quarter that perhaps anticipated the May-to-November stretch that historically is the worst six-month period for equity investors. Next month also begins the half-year ahead of the midterm elections, the weakest six months for stocks in the presidential cycle.”
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.
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 their 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 securities referred to in this publication.
