December 6, 2017 6:09pm
The sector open down which continued even lower to the close
No support, resistance elevates as buyers depart with traders selling into many upsides
Pre-open indications: 2 hits and 4 miss (ONCE was one)
Out and about: Spark therapeutics (ONCE) closed DOWN -$1.26 and is UP in the aftermarket +$3.29 or +4.725% on news of positive results from a study of a gene-therapy approach to hemophilia.
How right does one have to be? You could and should be reading this review of the day’s share pricing activity?
Is the truth so hard to fathom – that’s why my readership has grown exponentially
Wednesday’s results have implications to Thursday’s sector activity as a daily report may say little or a lot and it serves as insurance that all indications are being examined and evaluated!
From the pre-open’s newsletter, “…investors have a right to know, but not all sector management teams are of the same mind especially when they grumble about coverage but, don’t do much to enhance it in relation to a social media response. They need to know that the current sector and market conflict is not just an aspect of news and its reliability is currently dependent upon attention on short-term pricing.”
RegMed and cell therapy stocks ended much lower on Wednesday, as continued weakness in the sector spurred some selling.
This is the fourth (4) down session in six (6) sessions
Sentiment, sentiment and the sector’s credibility has been at stake!
The NASDAQ, down over 1% for the week, has seen the most selling in recent sessions, along with the RegMed and cell therapy sector with many analysts attributing profit-taking even after losses in small capitalization stocks.
Investors are becoming more risk averse as traders reap any profit and algorithms compute on these same weaknesses.
The advance/decline line scenario of 40 SCGT & RT covered companies:
· The open was negative with an A/DL of 13/24 and 3 flat ;
· 10:30 a.m. continued negative with an A/DL of 14/24 and 2 flats;
· 11;30 a.m. stayed negative with an A/DL od 10/29 and 5 flats;
· The mid-day continued negative with an A/DL of 8/30 and 2 flats;
· The close was negative with an A/DL of 7/29 and 4 flat;
Out and about:
Gene-therapy approach to hemophilia finds success in study, ONCE’s stock surges
Spark Therapeutics’ (ONCE) stock surged after announcing positive results from a study of a gene-therapy approach to hemophilia…
- The drug developed and tested in collaboration with Pfizer (PFE) involves a single injection meant to help those suffering from hemophilia B, a disease that keep blood from clotting and is typically treated with regular and costly infusions.
- The study followed 10 adult males for 492 weeks and found that the number of episodes of bleeding decreased from an average of 11.1 a year before administration to 0.4 per year after, while infusions were reduced by 99%.
- The results were published in The New England Journal of Medicine. Spark shares jumped as much as 5% in late trading after the announcement Wednesday, while PFE shares were unchanged.
Pre-open indications: 2 hits and 4 miss
- bluebird bio (BLUE) closed down -$3.25 – miss;
- Fate Therapeutics (FATE) closed down -$0.10 – miss;
- Juno Therapeutics (JUNO) closed up +$1.36 – hit;
- Neuralstem (CUR) closed down -$1.08 – hit;
- Spark Therapeutics (ONCE) closed up +$1.26 – miss;
- Vericel (VCEL) closed up +$0.05 – miss;
MY working trend lines or indications:
… The greatest volume to the downside: CUR, IMUC, SGMO, NWBO and CYTX
… Upside volume was weighted to: VTGN, JUNO, ADVM, VCEL and RGNX
… Biggest $ downside: BLUE (-$3.250, ONCE (-$1.26), CUR (-$1.08), ADRO (-0.40) and BLCM (-$0.38)
… Largest $ upside: JUNO (+$1.36), RGNX (+$1.25), VTGN (+$0.87), OSIR (+$0.17) and ADVM (+0.10)
… Flat: ATHX, BCLI, MESO and PSTI
U.S. stocks ended mixed on Wednesday, as weakness in the energy sector spurred some minor selling that offset a recovery in the technology sector.
· The Dow fell 39.73 points, or 0.2%, to 24,140.91. The S&P 500 SPX, -0.01% fell by 0.3 point to 2,629.27.
· The S&P 500 ended essentially unchanged on the day, although it closed in slightly negative territory. That made for its fourth straight lower close, its longest losing streak since March.
· The NASDAQ rose 14.16 points to 6,776.38, a gain of 0.2%.
The CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market; Wednesday traded at 11.02, down -2.74% …
- Tuesday traded at 11.33, down -3% after Monday traded at 11.68, up +2.19% after Friday traded at 11.43, up +1.33%, Thursday traded at 11.28, up +5.42% and last Wednesday traded at 10.70, up +6.68% …
Welcome to another day of the sector’s roller coaster …
… The iShares Russell 2000 (IWM) indicated:
· Wednesday was down -0.48%
· Tuesday -1%
· Monday -0.39%
· Friday -0.66%
· Thursday +0.18%
· Last Wednesday +0.34%
… The iShares NASDAQ Biotechnology (IBB) indicated:
· Wednesday was down -0.73%
· Tuesday -0.67%
· Monday -1.58%
· Friday +0.42%
· Thursday +1.44%
· Last Wednesday -0.01%
The count - decliners versus gainers:
……. look at the differences in the spreads as decliners jump and %
· Wednesday’s decliners ranged from -0.57% <BLFS -$0.03> to -34.95% <CUR -$1.08> in 29 equities;
· Tuesday’s decliners ranged from -0.51% <HSGX -$0.01> to -19.23% <FCSC -$0.25> in 21 equities;
· Monday’s decliners ranged from -0.34% <KOOL -$0.01> to -8.67% <NWBO -$0.0247> in 32 equities;
· Friday’s decliners ranged from -0.09% <MDXG -$0.01> to -6.16% <FCSC -$0.09> in 23 equities;
· Thursday’s decliners ranged from -0.05% <ONCE -$0.04> to -11.80% <BSTG -$0.0080> in 11 equities;
· Last Wednesday’s decliners ranged from -0.39% <AXGN -$0.10> to -12.33% <NWBO -$0.04> in 22 equities;
… Look at the percentage’s (%) and spreads …
· Wednesday’s gainers ranged from +0.65% <AGTC +0.03> to +93.55% <VTGN +$0.87> in 7 equities;
· Tuesday’s gainers ranged from +0.13% <QURE +$0.02> to +175.89% <CUR +$1.97> in 18 equities;
· Monday’s gainers ranged from +0.35% <MDXG +$0.04> to +7.78% <VCEL +$0.35> in 7 equities;
· Friday’s gainers ranged from +0.51% <ATHX +$0.01> to +11.46% <BSTG +$0.01> in 16 equities;
· Thursday’s gainers ranged from +0.26% <JUNO +$0.14> to +15.03% <VSTM +$0.55> in 28 equities;
· Last Wednesday’s gainers ranged from +0.21% <BLCM +$0.02> to +13.74% <BSTG +$0.008> in 19 equities;
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.