September 13, 2022 8:32am
A bottom is not in … just a game of musical chairs as the markets play-on
Indications: 6 Sell into Strength, 1 Negative Indications and 1 Pump/Promotes
RMi outlines a daily bell ringing 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.
More frequently right than consequentially wrong; there is VALUE out there. What I provide is an intelligence daily.
The 8:30 A.M., ET edition
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 -1.55% or (-503 points), S&P futures are DOWN -2.03% (-85 points) and NASDAQ futures are DOWN -2.68% (-3477 points) early in the pre-open – so far,
Stock futures were higher then lower as CPI numbers hit,
European markets were cautiously higher,
Asia-Pacific markets rise ahead of U.S. inflation report.
Indexes rose on Monday as a weaker dollar and growing confidence that inflation has peaked helped the relief rally continue. The Dow closed UP +229.63 points (+0.71) the S&P closed UP +43.05 points (+1.06%) while the Nasdaq closed UP +154.10 points (+1.27%)
A quote to ponder, “"It seems like everyone that wants to be out of the market is out, and everyone that wants to be tactical is short. Therefore, the surprises are going to be to the upside." <Wharton professor Jeremy Siegel>.
Economic Data Docket: consumer price index (CPI) reports, Producer Price Index (PPI) report.
- A 0.1% increase in headline inflation on a monthly basis. On a year-over-year basis, the index is expected to show an 8.3% increase.
RegMed Investors’ (RMi) closing bell: cell and gene therapy sector dives and then reverses to a positive close. While (I believe) irrational exuberance drove the indexes to the upside.” … https://www.regmedinvestors.com/articles/12599
Ebb and flow:
Q3/22 – September – 1 holiday, 5 positive and 2 negative closes
• August – 1 neutral, 11 positive and 11 negative closes
• July - 1 holiday, 10 negative and 10 positive closes
Companies in my headlights – It’s your decision; I provide ideas and context: INDICATIONS
Maintaining SELL into Strength:
Intellia Therapeutics (NTLA) closed up +$0.76 to $65.20 after Friday’s +$3.11, Thursday’s +$3.72, Wednesday’s +$2.24 and Tuesday’s -$0.64 with a +$0.20 or +0.31% pre-open indication
Ionis Pharmaceuticals (IONS) closed up +$1.82 to $48.66 after Friday’s +$2.57, Thursday’s +$0.82 with a positive -$0.07 or -0.14% pre-open indication,
CRISPR Therapeutics (CRSP) closed up +$2.86 to $69.82 after Friday’s +$0.69 and Thursday’s +$1.26 with a positive +$0.48 or +0.69% pre-open indication,
Brainstorm Cell Therapeutics (BCLI) closed up +$0.24 after Friday’s +$0.41 with a negative -$0.06 or -1.49% pre-open indication.
Caribou Therapeutics (CRBU) closed up +$1.29 to $12.76 after Friday’s -$0.42 with a positive +$0.04 or +0.31% pre-open indication,
Beam Therapeutics (BEAM) closed up +$0.07 to $57.58 after Friday’s -$0.16, Thursday’s +$1.26, Wednesday’s +$2.88 and Tuesday’s +$0.25 with a positive +$0.02 or +0.03% pre-open indication.
uniQure NV (QURE) closed up +$0.03 to $20.53 with a negative -$0.42 or -2.05% pre-open indication,
Puff/Pump and Promote: Maintaining SELL
Biostage (OTCQB: BSTG) closed down -$0.10 with 442 shares traded after Friday’s +$0.06 with 3,600 shares traded, Thursday’s +$0.59 with 3,900 shares traded, Wednesday’s -$0.60 with 100 shares traded, and last Tuesday’s $0.00 with 34 shares traded, following the previous Monday’s holiday, Friday’s $0.00 Thursday’s $0.00 and Wednesday’s $0.00 <3-month average = 1,619>,
- How much lipstick is a lot on this pig with an almost 4-year-old IND and NO clinical trial initiation?
- WATCH and be ready for a BIG reverse of shares to enable offering from multiple private placements as it tries to facilitate an offering with Newbridge Securities?
The BOTTOM LINE: I follow the dictum, quoting Churchill that “short words are best, and the old words when short are best of all.”
I try to keep it simple … and short as I love my coverage list – yet, the truth will set investors free from electronic and algorithm control!
September started with 1 holiday, 4 positive and 2 negative closes; August is over with 1 neutral, 11 positive and 11 negative closes while last week which ended the month.
In the first full week of September, the NASDAQ jumped +4.1%; the short-week ended with three (3) straight positive closes…
Whether the week’s end was just a sector responding to past overbought positions “adjustment” or the sign of anything more sustained will be on watch this week, especially as a new set of inflation reports comes out.
Cell and gene therapy news is on the light side, after a lousy earnings season reports.
As I continually question, “The real question that should be asked is how many companies are at the end of sentiments … leash? Start by looking at cell and gene therapy companies trading below cash!”
Second Question, “How many companies are LOSING the investment high ground? TOO MANY” …!!!
Investors need to come to terms of the cell and gene therapy sector’s state of affairs and health as individual company’s actions cast doubts upon sentiment as reflected by August’s final accounting of positive and negative closes.
· August – 1 neutral, 11 positive and 11 negative closes
Companies NEED BETTER outreach to investors which means … NOT to enrich themselves at shareholder’s expense!
CEO salaries, spending the G&A are totally OUT-OF-WHACK; these are companies are in the development stage and will be for years without products in most cases not like the tech companies, who CEOs and management teams think they should be compared to for bi-weekly cash and “beanies”!
When it comes time to invest or even hold onto an investment; I’d say … focus on what percentage ownership of stock … NOT options CEOs and management teams own versus their salary and bonus.
Also, investors can’t afford the outsized valuation price targets by I-Banks research and believe that CEOs are “accomplices” to over-estimating expectation and guidance in regard to valuation
The only thing investors are able to hang to at that point is HOPE – which is not a technical or fundamental indicator. Keep your eyes on historical pricings that, haven’t responded to I-Bank research price targets.
As I have written, “I devote a lot of time to the direction of the sector to reckon the geography of my coverage group.”
That doesn't mean you should flee entirely to cash, but investors make sure gains don't evaporate thus … be quick to drop losing positions.
Whether information or intelligence is good, bad or somewhere in between; 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.
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 securities referred to in this publication.