Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

<ul>
<li>A bear market bounce is underway after the S&amp;P 500, Nasdaq 100 (QQQ), and Russell 2000 (IWM) found support at their respective downtrend channels, a possibility we discussed last week.</li>
<li>Still, until the S&amp;P 500, QQQ, and IWM can break above their various downtrends, we remain bearish, and believe investors should be using rallies to reduce overall exposure.</li>
<li>This 1-week rally has the NDX(QQQ) testing resistance at its falling wedge pattern; a break above $297 would likely mean this bear market bounce has another 2-4 weeks of upside.</li>
</ul>


A bear market bounce is underway after the S&amp;P 500, Nasdaq 100 (QQQ), and Russell 2000 (IWM) found support at their respective downtrend channels, a possibility we discussed last week.
Still, until the S&amp;P 500, QQQ, and IWM can break above their various downtrends, we remain bearish, and believe investors should be using rallies to reduce overall exposure.
This 1-week rally has the NDX(QQQ) testing resistance at its falling wedge pattern; a break above $297 would likely mean this bear market bounce has another 2-4 weeks of upside.


Signs of Disinflation?; Commodities Deteriorating; Another Bear Market Bounce; Pharma/Biotech Buys

Founder/CEO of ROK Advisory, ROK Advisory LLC

Ken S. Kim

Founder/CEO of ROK Advisory

ROK Advisory LLC

ROK is an independent research advisory firm. We guide you to minimize the information gap between foreign and local investors in Northeast Asia with a focus in Korea, Taiwan and Japan.

Independent Research Advisory Firm

Korea has had 2 milestone cases that have been settled this year in the US courts - one was regards to botox (AbbVie/Allergan/ <a href="https://www.smartkarma.com/entities/medy-tox-inc" target="_blank" data-smartkarma-citation="entities:11403:1" rel="noopener">Medy Tox Inc (086900 KS)</a> vs. <a href="https://www.smartkarma.com/entities/evolus-inc" target="_blank" data-smartkarma-citation="entities:28008:1" rel="noopener">Evolus Inc (EOLS US)</a> / <a href="https://www.smartkarma.com/entities/daewoong-pharmaceutical-co" target="_blank" data-smartkarma-citation="entities:3742:1" rel="noopener">Daewoong Pharmaceutical Co (069620 KS)</a> ) and now, <a href="https://www.smartkarma.com/entities/lg-chem-ltd" target="_blank" data-smartkarma-citation="entities:3583:1" rel="noopener">LG Chem Ltd (051910 KS)</a> vs. <a href="https://www.smartkarma.com/entities/sk-innovation-co-ltd" target="_blank" data-smartkarma-citation="entities:1268:1" rel="noopener">SK Innovation (096770 KS)</a> - while both finally settled, what does this say about Korea to minority investors?

Korea has had 2 milestone cases that have been settled this year in the US courts - one was regards to botox (AbbVie/Allergan/ Medy Tox Inc (086900 KS) vs. Evolus Inc (EOLS US) / Daewoong Pharmaceutical Co (069620 KS) ) and now, LG Chem Ltd (051910 KS) vs. SK Innovation (096770 KS) - while both finally settled, what does this say about Korea to minority investors?

LGChem/SKI Deal - Another Korea Discount Worry? Follow the Female Lead

Founder

Kemp Dolliver, CFA

Cherrystone Hill Research

Equity Bottom-Up

Daewoong Pharmaceutical Co / Equity Bottom-Up

<a href="https://www.smartkarma.com/entities/3742" target="_blank" data-smartkarma-citation="entities:3742:1">Daewoong Pharmaceutical Co (069620 KS)</a> has traded up over the past year in anticipation of the launch of its botulinum toxin product Jeuveau in the US and EU (known as Nabota in Korea). We think the probability of near-term (6-9 months) disappointment with the product launch is low, but that upside surprises beyond that stage are unlikely given Botox's (product of <a href="https://www.smartkarma.com/entities/867" target="_blank" data-smartkarma-citation="entities:867:1">Allergan Plc (AGN US)</a>) strong brand recognition and marketing support. Now is the time to put the stock on the radar screen to pick up signs of a looming disappointment with Jeuveau's uptake.We tag this Insight as Bearish because we think there is little likelihood for Jeuveau to exceed consensus expectations post-launch.

Daewoong Pharmaceutical Co (069620 KS) has traded up over the past year in anticipation of the launch of its botulinum toxin product Jeuveau in the US and EU (known as Nabota in Korea). We think the probability of near-term (6-9 months) disappointment with the product launch is low, but that upside surprises beyond that stage are unlikely given Botox's (product of Allergan Plc (AGN US)) strong brand recognition and marketing support. Now is the time to put the stock on the radar screen to pick up signs of a looming disappointment with Jeuveau's uptake.We tag this Insight as Bearish because we think there is little likelihood for Jeuveau to exceed consensus expectations post-launch.

United States

Evolus, Inc. operates as a medical aesthetics company. The Company develops, produces, and markets clinical neurotoxins for the treatment of aesthetic, as well as offers regulatory management services. Evolus serves pharmaceutical industry in the United States.

Evolus Inc (EOLS US)

Signs of Disinflation?; Commodities Deteriorating; Another Bear Market Bounce; Pharma/Biotech Buys

A bear market bounce is underway after the SPX, QQQ, and IWM found support at their respective downtrend channels. Until these indexes can break...

Vermilion Research

LGChem/SKI Deal - Another Korea Discount Worry? Follow the Female Lead

IP protection is a big worry for Korean firms - has the 2 precedent cases in Korea in 2021 lower the value of IP from the view of international...

Ken S. Kim

Daewoong: Entering "Botox World"

Daewoong Pharmaceutical Co (069620 KS) has traded up over the past year in anticipation of the launch of its botulinum toxin product Jeuveau in the...

Kemp Dolliver, CFA