July 26, 2016 6:31am

… What are the share pricing takeaways and timeframes?

 

I answer one question; in which company should investors put, keep and commit their money!

 

Where is today’s market going?  Subscribe and find out! 

 

 

Where do investors turn for insight and perspective - I say truthfully what others won't, so you can do what others can't!

 

Companies in the headlights: ADRO, BLUE, HSGX, JUNO, KITE and KOOL

Indexes and ETFs: The IBB (-0.80%), XBI (-1.18%) and XLV (-0.21%) are DOWN and the IWM is NOT indicating

Dow futures are DOWN -0.07% and NASDAQ futures are DOWN -0.03%

 

U.S. stock futures are lower and struggling for direction on Tuesday, with investors opting for the sidelines ahead of the closely watched Fedmeeting and a deluge of earnings … Investors are wary of making any big moves ahead of an interest rate decision from the Fed, due on Wednesday.

European markets traded lower as traders digest another slew of earnings, ahead of two important central bank meetings due to take place this week.

Asian markets were mostly positive while Japanese stocks sold off , dragged by fresh strength in the yen after a local media report suggested the government's highly anticipated stimulus package may not live up to expectations.

 

 

The stem, cell, gene and regenerative therapy (SCG&RT) sector closed NEGATIVE on Monday, POSITIVE on Friday, NEGATIVE on Thursday, POSITIVE on Wednesday and NEGATIVE on last Tuesday.

The SCG&RT sector’s record after the last 5 days (of 43 covered companies):

  • Monday closed NEGATIVE with 25 decliners, 15 advancers and 3 flats;
  • Friday closed POSITIVE with 18 decliners, 22 advancers and 3 flats;
  • Thursday closed NEGATIVE with 22 decliners, 19 advancers and 2 flats;
  • Wednesday closed POSITIVE with 15 decliners, 26 advancers and 2 flats;
  • Last, Tuesday closed NEGATIVE with 34 decliners, 7 advancers and 2 flats

 

 

Remembering Monday’s post, “The facts and negativity of ‘our’ universe are hard to accept as the trajectory path of advance/decline lines fluctuate.”

It’s hard to right about the downside, when I wish to report the positives of “our” universe however, if one understands the negative – the positives will come clear!

  • I keep the facts in perspective but, the sector has a problem – timeframes and the communication of those particulars and supporting facts.

We're still seeing a sector that keeps fluctuating on unclear stimuli that just amplifies risk.

  • As I have stated risks are extremely high and rewards for the past two quarters are slight and fragmented.

Recent sentiment on the street has been to treat good news as bad – something to be sold into.

  • The issue, expectations have aged and need to be updated.

Reiterating, it’s a trading sector and expectation driven market!

 

 

You’ve made it to the office, turned on the monitor, having just gotten your coffee and it hits you - what could be today’s trades? 

Watch list:

  • The iShares Nasdaq Biotechnology (IBB) closed Monday up +0.48% and is DOWN -0.80% in Tuesday’s pre-market;
  • The SPDR S&P Biotech ETF (XBI) closed Monday up +0.34% and is DOWN -1.18% in Tuesday’s  pre-market;
  • The Health Care Select Sector SPDR ETF (XLV) closed down Monday -0.08% and is DOWN -0.21% in Tuesday’s pre-market;
  • The iShares Russell 2000 (IWM) closed down -0.15% on Monday and is NOT indicating in Tuesday’s pre-market.

 

 

Companies in my spotlight:

Aduro Biotech (ADRO) closed UP again +$0.20 to $14.20 after Friday’s $14.00 (+$0.33) after Thursday’s $13.67 (+$0.44). I sticking to my “numbers” as to trader’s propensity to “finger” the SELL button, be wary – Maintaining SELL;

bluebird bio (BLUE) closed DOWN -$0.13 to $49.18. Too much of a merry-go-round while the aftermarket indication is negative -$0.20 – SELL;

Cesca Therapeutics (KOOL) closed UP +$0.31 to $3.45 and the aftermarket indication is positive +$0.20. I am NOT a believer in KOOL but, the indication speaks for itself at the moment. “Play” it now to sell it later – BUY;

Juno Therapeutics (JUNO) closed UP again +$0.19 to $29.32 after Friday’s $29.13 (+$0.30). It’s been a heck of a two week stint; however, the iffy’ness of JUNO is still in the balance.  Four (4) deaths and a lack transparency leave a question about the changing number of deaths and why not did they come right out with correct numbers. What else might be behind the reasons? The aftermarket indication is -$0.02 – SELL;

Histogenics (HSGX) closed UP +$0.12 to $1.98. What is the basis of the move; last week left no indelible marks – Friday’s $1.86 preceded by $1.90, $1.85, $1.84 and Monday’s $1.88. Shifting sands reasoning – SELL;

Kite Pharma (KITE) closed UP +$0.76 to $51.51. KITE has entered into an exclusive, worldwide license agreement with The Regents of the University of California, on behalf of the University of California, Los Angeles (UCLA), for technology to advance the development of off-the-shelf allogeneic T-cell therapies from renewable pluripotent stem cells. In this market, good news is to be sold into thus becoming bad. KITE has realigned from its pricing drop from Friday’s $50.75, Thursday’s $50.18, Wednesday’s $49.82 and last Tuesday’s $47.37. That is a $4.14 differential – what trader wouldn’t salivate on today’s good news. Pre the news the aftermarket indication was <negative> -$0.11 - SELL

 

Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.