January 23, 2023 8:12am

TRIM your share holdings, it's a risk-on environment; still possible that last week’s three (3) session downside has less footing than Friday’s legs, triggering some pricing damage

Pre-open Indications: 7 Sell into Strength

I write this blog/newsletter to inform investors with facts and supporting numbers focused on what they need to hear that others won’t say or write about - truth! Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors!  Join me … in the NO spin zone.

The 8:30 a.m. 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 UP +0.04% or (+14 points), S&P futures are DOWN -0.01% or (-1 point) and NASDAQ futures are UP +0.10% or (+11 points) early in the pre-open – so far

Stock futures were mixed and shallow on Monday,

European markets were flat,

Asia-Pacific markets were higher, many markets closed for Lunar New Year

 

Henry’omics:

We need to understand the macro to comprehend the micro re “our” universe of cell and gene therapy companies …

Indexes rallied on Friday to finish the week strong after briefly losing the momentum of the January rally.  For the week, the Dow is down -2.07%, the S&P 500 is down -0.66% while the Nasdaq was up +0.55%.

  • The Dow closed UP +330.93 points (+1%), the S&P closed UP +73.76 points (+1.89%) while the Nasdaq closed UP +288.17 points (+2.66%)

 

Friday’s (1/20) … RegMed Investors’ (RMi) closing bell: “tug-of-war with sentiment backed-up by algorithms and electronic trading. It’s a merry-go-round ride, what goes down for three (3) down sessions – goes up post three (3) up sessions and a holiday.” … https://www.regmedinvestors.com/articles/12795

 

Ebb and flow:

Q1/23 – 2 holiday, 7 positive and 6 negative closes

Q4

·         December – 1 holiday, 13 negative and 8 positive closes

·         November -1 holiday, 14 negative and 8 positive closes

·         October -1 neutral, 11 positive and 9 negative closes

 

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

SELL into Strength:

Beam Therapeutics (BEAM) closed up +$2.13 to $44.54 after Thursday’s -$2.10, Wednesday’s +$0.06, Tuesday’s +$1.21 and Monday’s holiday with a positive +$0.01 or +0.02% pre-open

Verve Therapeutics (VYGR) closed up +$0.77 to $21.59 after Thursday’s -$1.31 with a positive +$0.58 or +2.69% aftermarket indication,

Chinook Therapeutics (KDNY) closed up +$0.79 to $26.56 with a positive +$1.32 or +4.97% aftermarket indication,

CRISPR Therapeutics (CRSP) closed up +41.94 to $49.71 after Thursday’s -$2.88 after Wednesday’s -$1.22 after Tuesday’s +$1.83 and Monday’s holiday with a positive +$0.38 or +0.77% pre-open indication.

Ionis Pharmaceuticals (IONS) closed up +$0.18 to $40.76 with a positive +$1.15 or +2.82% aftermarket indication,

BioLife Solutions (BLFS) closed up +$0.57 to $24.45 after -$0.11 to $23.88 with a negative -$0.49 or -2% aftermarket indication,

Ultragenyx (RARE) closed up +$0.90 to $42.40 after Thursday’s -$1.12, Wednesday’s +$0.12 and Tuesday’s -$1.05) with a positive $1.67 or +3.94% aftermarket indication,

 

The BOTTOM LINE: I try to keep it simple and short!

Treasury yields fell, a positive for cell/gene therapy sector equities stocks; however, one can NOT always count the cards in the big casino located on wall street.

The Russell 2000, another risk-on play, is nearly even with the Nasdaq, up 6.1% in 2023.

Yet, I do NOT believe there aren't a lot of cell/gene therapy companies in position yet – UNTIL earnings (Q4) are reported – it could be a faux breakout with the inevitable downside re-occurring.

My interpretation of the morning’s numbers is written to be informative; it’s built on will happen behind the headlines today, not tomorrow or yesterday …

Reiterating, “As 2023 trading begins, some investors think the pain is far from over; I agree for Q1 as Q4 earnings releases could hinder share pricing however, once through that “gauntlet” – we could see a bit of a smoother road in Q2/2023 hoping for a few clinical results and successful financings – well needed for more than usual companies.”

“Don't act like the market is in an uptrend until the market is actually in an uptrend”.

Insight is about understanding perception and also about putting into context what is relevant to expectation fulfillment,

 

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.