January 23, 2018 6:36pm
An expression; the question is, are investors confident that sector equities will keep going up?
The IBB (+1.12%) – that’s +4.92% in three (3) days as the XBI (+2.24%) and NASDAQ (+0.71%) advanced while the XLV (-0.47%) was down
Speculation is at its peak until it isn’t and that’s with clinical risk at an all-time high.
Out about: fate Therapeutics (FATE +$0.83) jumped 10% with 1.95 M share volume <3 month average = 477.39 K shares>
Pre-open indications: 2 hits and 6 miss
Out and about: The Biostage (BSTG +$0.00) chronicles … don’t be fooled by surges!
Tuesday’s results have implications to Wednesday’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!
Henry’omics:
From the pre-open’s newsletter, “…the “JUNO” effect; the saying "a rising tide lifts all boats" is associated with the idea that pricing upswings based on an acquisition event will benefit other sector “participants”. The slogan also shines the light on capital market access for those in need of offerings … Is it worth chasing other equities that won’t be acquired in the short or near-term?”
As much as I like (love) the appreciative upside, I feel cautious in this time frame re pricing sustainability. Individual equities have relied upon the JUNO “effect” for their upswing without any news of their own!
With all the gains, hedges and day traders and some funds will lock-in these quick gains keeping a position and giving themselves a factor of appreciation for the month.
I believe profits will start to be taken and exercised in the push of the sell button.
The advance/decline line scenario of 40 SCGT & RT covered companies:
· The open was positive with an A/DL of 23/15 and 2 flat ;
· The mid-day was positive with an A/DL of 25/11 and 3 flat;
· The close was positive with an A/DL of 28/9 and 3 flat;
Pre-open indications:
- Applied Genetic Technologies (AGTC) closed up +$0.10 – miss;
- bluebird bio (BLUE) closed up +$5.50 – miss;
- Fate Therapeutics (FATE) closed up +$0.83 – miss;
- Histogenics (HSGX) closed up + $0.04 – miss;
- Spark Therapeutics (ONCE) closed down -$0.80 – hit;
- Stemline Therapeutics (STML) closed down -$0.10 – hit;
- uniQure (QURE) closed up +$1.16 – miss;
- Verastem (VSTM) closed up +$0.21 – miss;
Out and about:
Shares of FATE rose 10.01% today -- following yesterday's 13.7% trek higher -- as investors kept the momentum going. While FATE is actually partnered with Juno Therapeutics on an early-stage program, the recent share appreciation seems to be a nod to the company's broad immunotherapy potential.
FATE can't really be compared to JUNO, as it's still in the earliest stages of development, but the tiny peer has taken a shotgun approach to immunotherapy and cell therapy. It starts with induced pluripotent stem cells, which are then coaxed to transform into various immune cells, including natural killer cells (NKs), T-cells, and CD34+ cells. The idea is to create an off-the-shelf cellular immunotherapy production platform using stem cells. <Motley Fool>
FATE is also running its own clinical trials investigating several immunotherapy drug candidates. Therefore, given the increased excitement surrounding the field this week, it's easy to see why Wall Street is suddenly paying attention to Fate Therapeutics.
At the mid-day, FATE had rammed a trading range of $8.43 to $9.78
.
MY working trend lines:
… The greatest volume to the downside: JUNO, ONCE, BLCM, STML and AST
… Upside volume was weighted to: RENE.L, VTGN, CYTX, XON and FATE
… Biggest $ downside: ONCE (-$0.80), BLCM (-$0.15), JUNO (-$0.14), STML (-$0.10) and AST (-$0.10)
… Largest $ upside: BLUE (+$5.55), RGNX (+$2.35), CLLS (+$1.68), QURE (+$1.16) and FATE (+$0.83)
… Flat: KOOL and VCEL
Out and about:
Biostage (BSTGD) This management team WIPED OUT 20 M of holder’s shares and investment!
Previous close of $2.70 didn’t trade today, not a share? This follows the projected $1.32 post the 1-to-20 reverse split – a $4 M in-flow just followed a $30 M investment loss incurring a $47 M deficit!
NO scientists, a CEO, CFO and 2 accountants don’t make a company who couldn’t pay their rent or communicate their issues to past “fleeced” shareholders …
I am NOT “eating” my negative declaration, my OPINION is still “COVER UP of male and female harassment and corporate MISDEEDS “by members of management team!
What did happen to (reasons) and the story “around” the IND NOT being filed and the cmo and president leaving the company? NEVER forget the storyline of the 2 broken financings before the reverse split!
http://app.quotemedia.com/data/downloadFiling?webmasterId=101533&ref=11980760&type=HTML&symbol=BSTGD&companyName=Biostage&formType=3&dateFiled=2018-01-10&cik=0001563665 – VERY interesting, NO mention of BSTG’s executives!
Daily analytics:
The S&P 500 and the NASDAQ ended at fresh records Tuesday as a spate of upbeat earnings bolstered sentiment even as the Dow edged lower. With Tuesday’s closing bell, the S&P 500 has set a new milestone for most record finishes in January at 12.
· The Dow slid 3.79 points, or less than 0.1%, to 26,210.81.
· The S&P 500 index climbed 6.16 points, or 0.2%, to 2,839.13.
· The NASDAQ climbed 52.26 points, or 0.7%, to 7,460.29.
The CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market, Tuesday traded at 11.10, up +0.63% …
- Monday traded at 11.03, down -2.13% after Friday traded at 11.20, down -8.35% after Thursday traded at 12.22, up +2.60% after Wednesday traded at 11.91, up +2.14% and Tuesday traded at 11.66, up +14.76% …
Welcome to another day of the sector’s roller coaster …
… The iShares Russell 2000 (IWM) indicated:
· Tuesday was up +0.31%
· Monday +0.53%
· Friday +1.32%
· Thursday -0.70%
· Wednesday +0.96%
· Last Tuesday was -1.25%
… The iShares NASDAQ Biotechnology (IBB) indicated:
· Tuesday was up +1.12%
· Monday +3.14%
· Friday +0.66%
· Thursday -0.13%
· Wednesday +0.73%
· Tuesday -1.38%
The count - decliners versus gainers:
……. look at the differences in decliners:
· Tuesday’s decliners ranged from -0.16% <JUNO -$0.14> to -4.17% <AST -$10> in 9 equities;
· Monday’s decliners ranged from -0.36% <BLFS -$0.02> to -12% <NWBO -$0.02> in 9 equities;
· Friday’s decliners ranged from -0.06% <QURE -$0.01> to -7.88% <ISCO -$0.13> in 18 equities;
· Thursday’s decliners ranged from -0.37% <STML -$0.05> to -9.68% <RENE.L -$0.15> in 20 equities;
· Wednesday’s decliners ranged from -0.12% <BLCM -$0.01> to -6.75% <ISCO -$0.11> in 18 equities;
· Last Tuesday’s decliners ranged from -0.61% <ISCO -$0.01> to -9.03% <RGNX -$2.75> in 31 equities;
Versus
… Look at the percentage’s (%) and spreads …
· Tuesday’s gainers ranged from +0.07% <MDXG +$0.01> to +10.01% <FATE +$0.83> in 27 equities;
· Monday’s gainers ranged from +0.52% <ATHX +$0.01> to +26.82% <JUNO +$18.19> in 26 equities;
· Friday’s gainers ranged from +0.67% <PSTI +$0.01> to +5.80% <ADRO +$0.40> in 21 equities;
· Thursday’s gainers ranged from +0.17% <MESO +$0.01> to +18.31% <CYTX +$0.06> in 15 equities;
· Wednesday’s gainers ranged from +0.33% <VSTM +$0.01> to +53.86% <JUNO +$23.65> in 19 equities;
· Last Tuesday’s gainers ranged from +0.58% <MDXG +$0.08> to +10.13% <ADVM +$0.40> in 9 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.
