RegMed Investors’ (RMi) closing bell analysis, the daily roulette wheel spun

February 17, 2017 7:32pm

The money ball dropped in the short-term momentum pocket

A slight difference, one penny to the right or the left can decide a hit or a miss

What happened, what did it all mean and why was it important in today’s sector outcomes

Pre-open indication tally, 2 hit (AGTC and CAPR) and 0 miss

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

RMi’s daily and continual “reads” of the goings-on of the SCG&RT sector can improve investor’s and trader’s odds, and just because a stock underperforms the market doesn’t mean you have to lose money.

U.S. equities closed mixed on Friday, but managed another record close, while investors kept an eye on France's presidential election.

The NASDAQ closed UP +23.68 or +0.41% to 5838.58 and the DOW closed UP +4.28 or +0.02% to 20,624.05.

A day in the life of the stem, cell, gene and regenerative therapy (SCGT & RT) sector – the advance/decline line scenario of our 43 covered companies:   

• The open was negative with an A/DL of 17/26 and 0 flat;
• The mid-day stayed negative with an A/DL of 18/20 and 5 flat;
• 2:30 pm the sector turned positive with an A/DL of 21/18 and 4 flats;
• The close continued positive with an A/DL of 21/17 and 5 flat;

Henry’omics:

From the pre-open’s investor’s letter title, “an acquired taste as Investors will need a drink to stay to maintain a high and handle the lows. As the fourth-quarter financial results continue, spending and cash positions are further revealed.”

• Reiterating, “As further Q4/16 financial results are released, we will see the fragility of the sector.

That fragility is further enhanced by those who will attempt to force their way through the capital market open window for financing. The problem is the capital access is getting lower every session.  One “named” failure will set the tone for other companies to right-side their focus to investors; we at the moment are too dependent on bottom-feeding warrant clippers for investment.”

• The daily roulette wheel spun Friday as players choose to place bets on either a single stock, many or index.

The ball spun negative in the am but, luck changed after the morning’s turn to a positive session.

The roulette table also imposes minimum and maximum bets, and these rules usually apply separately for all of a player's inside and outside bets for each spin.

• For inside bets at roulette tables, some casinos may use separate roulette table chips of various colors to distinguish players at the table. Players can continue to place bets as the ball spins around the wheel until the dealer announces no more bets.

The payout odds like the market of sector stocks for betting are based on probability – so what is different …?

Indexes, the ebb and flow:

• The iShares Russell 2000 (IWM) indicated a negative -0.61% in the pre- open and closed DOWN -0.06%
• The iShares NASDAQ Biotechnology (IBB) indicated a negative -0.35 in the pre-open and closed UP +0.47%

Pre-open indication tally, 2 hit (AGTC and CAPR) and 0 miss (CAPR):

• Applied Genetic Technologies (AGTC) closed UP +$0.15 – hit;
• Capricor (CAPR) closed DOWN -$0.05 – hit;

My pet peeve:

High-frequency trading accounted for 52% of February's daily trading volume of about 6.81 billion shares <TABB Group>.

• During the peak levels of high-frequency trading in 2009, about 61% of 9.8 billion of average daily shares traded were executed by high-frequency traders.

The downside shows a pricing trend of:

• Friday’s decliners ranged from -0.12% <ONCE> to -7.06% <NWBO> in 17 equities;
• Thursday’s decliners ranged from -0.34% <XON> to -6.44% <IMUC> in 26 equities;
• Wednesday’s decliners ranged from -0.06% <BLUE> to -6.54% <ISCO> in 14 equities;
• Tuesday’s decliners ranged from -0.01% <ISCO> to -13.06% <VTGN> in 20 equities;
• Monday’s decliners ranged from -0.14% <ONCE> to -5.91% <QURE> in 15 equities;
• Last Friday’s decliners ranged from -0.07% <BLUE> to -40.68% <BSTG> in 15 equities;

The upside shows a pricing trend of:

• Friday’s gainers ranged from +0.24% <MDXG> to +15.93% <FATE> in 24 equities;
• Thursday’s gainers ranged from +0.32% <CAPR> to +18.55% <CUR> in 16 equities;
• Wednesday’s gainers ranged from +0.31% <FATE> to +6.32% <JUNO> in 25 equities;
• Tuesday’s gainers ranged from +0.61% <BCLI> to +22.31% <IMUC> in 21 equities;
• Monday’s gainers ranged from +0.61% <BCLI> to +6.82% <CAPR> in 25 equities;
• Last Friday’s gainers ranged from +0.34% <OSIR> to +22.39% <BLFS> in 24 equities;

Review my fear gauge or the CBOE Volatility Index (VIX):

·         Friday traded near 11.5;

·         Thursday traded near 11.7;

·         Wednesday traded near 11.6 – 8% higher;

·         Tuesday traded near 10.89;

·         Monday traded near 11.2;

·         Last Friday traded near 10.88;

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.