June 2, 2021 7:32am

The oversold are crying-out for or wailing about recognition in this rotation

Pre-open indications: 3 BUYs and 3 SELLs

My version of the morning’s “indications” is about what you need to know; it’s what could happen or materialize after the opening and what might happen during the session

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Dow futures are UP +0.14% (+49 points), S&P futures are UP +0.07% (+2.75 points) and NASDAQ futures are UP +0.04% (-5.25 points)

 

U.S. stock index futures were fluctuating mixed in the pre-market on Wednesday,

European stocks inched higher with cautious trading

Asia-Pacific were mixed with official data showing higher-than-expected growth in Australia’s economy for Q1

 

Henry’omics:

On Tuesday, there was an erratic session with mixed results as the cell and gene therapy sector closed barely positive:

  • Tuesday opened positive at 18/15, 1 flat and 1 acquired, strayed neutral by the mid-day to 16/16, 2 flats and 1 acquired, closing positive at 17/16, 1 flat and 1 acquired;

It also helps in “Reviewing the month of May, last week, there were 3 negative sector closes of five sessions (beginning 5/24) after the previous week’s) beginning 5/17) two negative closes of five sessions following the mid-month (5/10) four negative closes of five sessions as Monday began the month (5/3) with one negative close.”

  • Bottom line: May ended with 8 positive, 12 negative beginning June with 1 positive close.

Have the summer doldrums started all righty?

 

RegMed/Cell and Gene Therapy Earnings Scorecard Q1/21 LPS Results … thirty (31) to date …  https://www.regmedinvestors.com/articles/11628

 

Tuesday’s evening’s recap: “definitely not a cell and gene therapy sector day as Nasdaq got whipped on weakness as the June initiates summer doldrums?” …

  • The Nasdaq closed DOWN -12.26 points (-0.09%);
  • The IBB closed down -0.69% and XBI closed down -1.29%
  • Sector volume was LOW with 3 of the 17-upside having higher than the 3-month average volume with the volume of 1 of 16-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was up +1.14 points or +6.80% at 17.90
  • Monday’s percentage (%) of the 17-upside were +0.28% (BCLI) to +8.93% (BSTG) while the 16-downside ranges from -0.02% (VCEL) to -5.40% (FATE);

Q2/21:

June: 1 positive

May:  8 positive, 12 negative closes and 1 holiday

April: 11 negative and 10 positive closes

Q1/21:

  • March: 10 positive, 12 negative and 1 neutral closes
  • February: 9 positive, 10 negative closes and 1 holiday
  • January: 10 positive, 9 negative closes and 1 holiday

 

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

The Biostage (BSTG) - Maintaining Sell

Biostage (BSTG) closed up +$0.10 to $1.22 with 2216 shares traded post Monday’s holiday and Friday’s -$0.20 to $1.12 with 4.372 shares traded, Thursday’s flat at $1.30 after being down -$0.21 to $1.11 with 5617 shares traded (the “pump and promote” was back) and last Wednesdays at $1.30 again with 45 shares traded.

Question#1: WHERE is the next level of funding coming from, is it further warrant execution cash generation for funding? Should its “runway” be considered extremely short or even non-existent?

Question#2: Notice the volume numbers per session? WHY the need to “pump, promote and inflate” the share price; does the volume reflects the manipulation to execute the last remaining warrants?

MINORITY PUBLIC shareholders are waiting, watching and weighing responses to MAINTAIN their RIGHTS.

 

The morning’s indications:

BUY:

Alnylam Pharmaceuticals (ALNY) closed up +$1.76 to $141.99 with NO pre-market indication.

bluebird bio (BLUE) closed down -$0.01 to $31,11 and has a positive +$0.54 to +1.74% pre-market indication.

Editas Medicine (EDIT) closed up +$0.27 to $34.22 after Friday’s -$0.64 to $33.95 and has a positive +$0.14 or +0.41% pre-market indication.

ReNeuron (RENE’L) has a positive +$3.50 indication after closing flat at $122.50

 

SELL:

Applied Genetic Technologies (AGTC) closed up +$0.20 to $4.21 with a negative -$0.06 or -1.43% in the pre-market

Sage Therapeutics (SAGE) closed up +$0.37 to $69.97 after Friday’s -$2.16to $69.60 and has a negative -$1.82 or -2.60% aftermarket indication.

Verastem (VSTM) closed up +$0.08 to $3.95 with a negative -$0.06 or -1.52% pre-market indication.

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The BOTTOM LINE: This a confused sector as sentiment fades, momentum is usurped, fundamentals are being ignored – or is it a test of our staying power in certain equities.

I am STILL sticking with, “New highs are “in store” in the hype of a new month and the reopening status of the economy as constraints come-off many states and some companies re-open their doors to employees.

Although, “I would consider new highs … to be SOLD into …complacency is in store as many investors actually get out to vacations (one indicator).”

A true contrarian thought …

My focus has always been “warning analysis” … my advice, trim and skim any new highs if one can!” I also see a number of lows that could be in the “pick-up” stock game.

My motto, never leave an investor uninformed about what I know!

 

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.

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