June 12, 2017 5:14pm

 

Negative sentiment lingers, an option expiration Friday, end of month progression as the closing of quarter evolves

All play into a tightening scenario …

 

As I had stated, “The upsides are trending toward being overbought”

 

Pre-open indications re-cap: 6 hits and 2 miss

 

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

What have you missed, Monday’s results have implications to Tuesday's sector activity.  

 

 

A daily report may say little or a lot and its final judgement may be inconclusive; yet it serves as insurance that all indications are being examined and evaluated.

 

 

The advance/decline line scenario of 43 SCGT & RT covered companies:   

·         The open was negative with an A/DL of 17/18 and 8 flats ;

·         The mid-day was negative with an A/DL of 18/21 and 4 flats;

·         The close was negative with an A/DL of 13/29 and 1  flat;

 

 

Pre-open indications re-cap:  6 hits and 2 miss …

·         Applied Genetic Technologies (AGTC) closed down -$0.25 – hit;

·         Bellicum Pharmaceuticals (BLCM) closed down -$0.33 – miss;

·         bluebird bio (BLUE) closed down -$3.45 – hit;

·         Juno Therapeutics (JUNO) closed up +$0.71 – hit;

·         Kite Therapeutics (KITE) closed down -$0.86 – hit;

·         Spark Therapeutics (ONCE) closed up +$0.07 – hit;

·         Sangamo (SGMO) closed up +$0.05 – miss;

·         Verastem (VSTM) closed up +$0.00 – hit;

 

 

Henry’omics:

From the pre-open’s investor’s newsletter … “Warning patterns - also an option expiration week (Friday, 16th) with a push-up and a down-pull aftermath.”

  • Reiterating, “However, I more than speculate that the selloff is the start of something more ominous in a cell therapy sector. Traders will cover … pumping some share pricing for a bigger sell-0ff!  Investors are re-evaluating valuations – they are TOO far from the present value. And … cash positions and operating costs will be on display … to be measured against developments!”

The cell therapy sector squirmed in yet another terrible two-session clobbering, raising questions about what has sparked a sudden selloff in cell therapy, I say – so little came out of ASCO as investors were looking for some lab desk pounding!

  • Friday saw “low volume and downside volatility drove the sector to the dump although a few positives were recycled!”

 

Some investors and traders argue that the cell theraapy cohort has and is suffering from immaturity and constant distress from “downturn’itis” after what has been a slippery slope for months.

 

 

Daily analytics:

U.S. equities closed DOWN on Monday … with the DOW closing DOWN -0.17% (-36.30) as the NASDAQ closed DOWN -0.52% (-32.45) …

… The CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market, traded near 11.48 up +7.29% after …

​           Friday traded near 10.6 after Thursday’s near 10.2 … 1.5% lower after Wednesday’s near 10.32 - -1.24%, Tuesday’s 10.5 and last Monday’s near 9.8 …

 

 

Welcome to another day of the sector’s roller coaster …

… The iShares Russell 2000 (IWM) indicated a negative -0.25% at the pre-open and closed

·         Monday traded DOWN -0.16%,

·         Friday+0.52%

·         Thursday +1.34%

·         Wednesday +0.10%

·         Tuesday -0.09%

·         Last Monday -0.55%

… The iShares NASDAQ Biotechnology (IBB) indicated a positive +0.04% in the pre-open and closed

·         Monday traded DOWN -0.30%,

·         Friday  -0.22%

·         Thursday +0.63%

·         Wednesday +0.06%

·         Tuesday -0.46%

·         Last Monday -0.62%

 

 

The count - decliners versus gainers:

……. look at the differences in the spreads ……….

·         Monday’s decliners ranged from -0.31% <BTX> to -7.83% <ISCO> in  22 equities;

·         Friday’s decliners ranged from -0.39% <QURE> to -8.68% <MESO> in  29 equities;

·         Thursday’s decliners ranged from -0.30% <FATE> to -8.33% <ISCO> in 12 equities;

·         Wednesday’s decliners ranged from -0.45% <BLFS> to -7.72% <NWBO> in 21 equities;

·         Tuesday’s decliners ranged from -0.37% <ONCE> to -6.98% <NWBO> in 19 equities;

·         Last Monday’s decliners ranged from -0.16% <CLLS> to -10.74% <JUNO> in 30 equities;

Versus

·         Monday’s gainers ranged from +0.13%  <ONCE> to +15.20% <FCSC> in 15 equities;

·         Friday’s gainers ranged from +0.63%  <BTX> to +5% <AGTC> in 13 equities;

·         Thursday’s gainers ranged from +0.12%  <CLLS> to +7.26% <MESO> in 30 equities;

·         Wednesday’s gainers ranged from +0.27%  <XON> to +11.15% <BLUE> in 16 equities;

·         Tuesday’s gainers ranged from +0.12%  <CLLS> to +7.56% <BLUE> in 18 equities;

·         Last Monday’s gainers ranged from +0.68% (+$0.01) <ATHX> to +8.50% <BLUE> in 10 equities;

 

 

Some of MY working trend lines or indications for tomorrow:

… The greatest volume to the downside:  NWBO, BLUE, MDXG, KITE and RENE.L

… Upside volume was weighted to:  JUNO, XON, SGMO, FCSC and BCLI

… Biggest $ downside:  BLUE, KITE, CLLS, AXGN and RGNX

… Largest $ upside: XON, JUNO, FCSC, STML and OSIR

… Flats:  MESO, ONVO, VTGN, ADRO, PSTI and VSTM    

 

 

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.