April 2, 2018 5:23pm

… As then the over-reaction jumps

We need a dynamic to revitalize the sector

 

Best idea, pre-open indication: BioLife (BLFS) closed up +$1.05 or +20.55%

 

End of day briefing; the “numbers” speak!


 

 

Henry’omics:

We are here, Q2/18.

With Monday’s tumble, The NASDAQ is now down 0.5% for 2018. The index is also near correction territory, defined as a drop of at least 10% from a peak. While such drawdowns are common, historically speaking, the NASDAQ hasn’t had a correction since February 2016.

It is an ominous sign for where sector equities may be headed! It’s a long way back to the oversold upside!

From the pre-open’s newsletter, “first trading day of April is welcomed by many as the last weeks have been poisonous. Can we re-boot in a new quarter, while Q1 is still in the can waiting to be poured.”

As I had stated, “I waited to see the open and the 10:30 a.m. numbers … before I pushed any button … and investors SHOULD have fear of getting caught on the wrong side of the sector as Q1 results will identify spending versus development and cash positions.”

The current environment is much scarier than 2017 — an atypically soft year, where the sector rose with acquisition and decline with minimal news with record high volatility.

Weakened market-caps have extended their dismal performance into today’s start of Q2/18.

 

The advance/decline line scenario of 40 covered companies:   

  • The open was negative with the A/DL to 17/18 and 5 flat;
  • The mid-day stayed negative with an A/DL of 9/30 and 1 flat;
  • The close concluded negative with an A/DL of 9/31 and 0 flat;

 

Investors are still facing hefty losses as April begins having weathered the month of March!

  • The “only” nine (9) of the upside were: BLFS (+20.55%), IMUC (+4%), CUR (+3.64%), AST (+3.45%), NWBO (+5.58%), BCLI (+1.90%), VTGN (+1.30%) and ISCO (+0.68%)

 

Volume is STILL low …

 

Review the last 6 session’s close (of 40 covered companies):

  • Monday closed negative with 31 decliners, 9 advancers and 0 flats;
  • Friday was a market holiday
  • Thursday closed POSITIVE with 16 decliners, and 22 advancers and 2 flats
  • Wednesday closed NEGATIVE with 26 decliners, 13 advancers and 1 flat;
  • Tuesday closed NEGATIVE with 35 decliners, 2 advancers and 3 flats;
  • Last Monday closed POSITIVE with 17 decliners, 21 advancers and 2 flats;

 

Pre-open indications: 1 hit

BioLife Solutions (BLFS) closed +$1.05 – HIT;

 

MY working five (5) trend lines:

The greatest volume to the downside:  MDXG, SGMO, XON, ONVO and BLUE

Upside volume was weighted to:  IMUC, NWBO, BLFS, CYTX and VTGN

Biggest $ downside:  BLUE (-$9.25), ONCE (-$2.86), QURE (-$1.50), RGNX (-$1.40) and SGMO (-$1.30)

Best moves to the $ upside:  BLFS (+$1.05), CUR (+0.06), BCLI (+$0.06), AST (+$0.05) and VTGN (+$0.012)

… Flats: NONE

 

Daily analytics:

U.S. stocks fell sharply Monday, in the latest example of heavy intraday volatility driven by both uncertainty surrounding trade policy and weakness in the large-capitalization technology and internet sectors.

  • The Dow fell 458.92 points, or 1.9%, to 23,644.19.
  • The S&P 500 lost 59 points to 2,581, a decline of 2.2%.
  • The NASDAQ was down 193 points, or 2.7%, to 6,870.

 

The CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market,

  • Monday traded at 23.62, up +18.28% …
  • Friday was a market holiday
  • Thursday traded at 19.97, down -12.68%
  • Wednesday traded at 22.77, up +0.76%
  • Tuesday traded at 22.50, up +6.99%
  • Last Monday traded at 21.03, down -15.44%

 

The iShares Russell 2000 (IWM) indicated:

  • Monday was down -2.37%
  • Friday was a market holiday
  • Thursday +1.02%
  • Wednesday -0.03%
  • Tuesday -1.92%
  • Last Monday +2.18%

 

The iShares NASDAQ Biotechnology (IBB) indicated:

  • Monday was down -3.95%
  • Friday was a market holiday
  • Thursday +0.72%
  • Wednesday +0.82%
  • Tuesday -2.77%
  • Last Monday +2.68%

 

The count - decliners versus gainers:

……. look at the differences in decliners:

  • Monday’s decliners ranged from -0.74% <CAPR -$0.01 > to -5.42% < BLUE -$9.25> in 31 equities;
  • Friday was a market holiday
  • Thursday’s decliners ranged from -0.33% <VSTM -$0.01 > to -3.68% <SGMO -$0.73 > in 16 equities;
  • Wednesday’s decliners ranged from -0.31% <FCSC -$0.0018 > to -8.30% <AXGN -$3.30 > in 26 equities;
  • Tuesday’s decliners ranged from -1.01% <MESO -$0.06 > to -15.74% <SGMO -$3.55 > in 35 equities;
  • Last Monday’s decliners ranged from -0.03% < BLUE -$0.05> to -16.79% < KOOL -$0.45> in 17 equities;

Versus

… Look at the percentage’s (%) and spreads …

  • Monday’s gainers ranged from +20.55% <BLFS +$1.05 > to +1.19% <CYTX +$0.0034> in 9 equities;
  • Friday was a market holiday
  • Thursday’s gainers ranged from +0.14% <AXGN +0.05> to +10.70% <BTX +$0.26> in 22 equities;
  • Wednesday’s gainers ranged from +0.41% <BTX +$0.01> to +4.90% <MDXG +$0.33> in 13 equities;
  • Tuesday’s gainers ranged from +0.36% <HSGX +$0.01 > to +0.66% <STML +$0.10 > in 2 equities;
  • Last Monday’s gainers ranged from +0.39% <ADVM +$0.03 > to +8.37% <MDXG +$0.56> in 21 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.