June 5, 2018 5:25pm

As the NASDAQ (+31.4 points or +0.41%) reached an all-time intraday high

Where and what is the news from the BIO conference?

 

The second question is will algorithms and momentum; with a five (5) sector positive close’s trend stay your friend?

 

Out and about: Ionis Pharmaceuticals (IONS) closed its expanded strategic collaboration with Biogen (BIIB) to discover and develop novel antisense drugs for a broad range of neurological diseases following receipt of clearance under the Hart-Scott-Rodino (HSR) Antitrust Improvements Act of 1976. BIIB paid IONS $1 billion in cash, which included $625 million for the purchase of 11,501,153 shares of IONS common at a price of $54.34 per share and a $375 million upfront payment.

Pre-open indications: 4 HIT and 1 MISS (1 by a penny)

Of the 45 covered, the 14 downside equities expired in a bottom-weighted range of -$0.01 to -$2.13 while the 30 upside equities oscillated from +$0.01 to +$4.50

 

We keep you informed, if you want to be knowledgeable of the “bones” of the sector - be a subscriber to understand what you need to do in Wednesday’s market. Let the “numbers” speak since sentiment is capricious!


Henry’omics:

From the pre-open newsletter, “today seems long for an upside period; I am still barking about building your reserve from the June swoon. Incrementally sell percentages of the upside, even if there is money on the table for it might not be there in the short-term future.”

I also stated, “Despite ASCO’s upbeat mood and BIO’s Seaport’s freneticism, it just might be time for some profit-taking!”

Tuesday's slight gains for the NASDAQ come after the index posted a record closing high for the first time since March 12. But the rest of the market lagged the NASDAQ on Tuesday. The Dow fell 13.71 points at 24,799.98. The S&P 500 rose just 0.1% to 2,748.79. The two indexes struggled for gains as indexes fretted over tensions between the United States and some of its key trading partners <CNBC>.

In economic data news, the ISM non-manufacturing index reached 58.6 in May, above an expected print of 57.6. A reading above 50 indicates expansion in the service sector while a reading below 50 signals contraction <CNBC>.

I am NERVOUS about all-time highs and cautious about sector share pricing!

 

The advance/decline line scenario of 45 covered companies:   

  • The open was positive with an A/DL of 32/13 and 0 flats;
  • The mid-day stayed positive with an A/DL of 33/11 and 1 flat;
  • The close swung positive with an A/DL of 30/14 and 1 flat;

 

Pre-open indications: 4 HIT and 1 MISS

  • Bellicum Pharmaceuticals (BLCM) closed up +$0.11 – hit;
  • bluebird bio (BLUE) closed down -$1.65 – hit;
  • Pluristem (PSTI) closed up +$0.01 – miss;
  • Stemline Therapeutics (STML) closed up +$0.05 – hit;
  • Verastem Oncology (VSTM) closed up +$0.38 – hit;

 

Out and about: Ionis Pharmaceuticals (IONS) closed its expanded strategic collaboration with Biogen (BIIB) …

On April 20, 2018, Ionis and Biogen announced they would expand their strategic collaboration to develop novel antisense drugs for a broad range of neurological diseases through new ten-year collaboration.

  • This collaboration capitalizes on Ionis' leadership in RNA-targeted therapies as well as Ionis and Biogen's joint expertise in neuroscience research and drug development. It builds upon a productive collaboration that produced SPINRAZA® (nusinersen), the first and only approved treatment for patients with spinal muscular atrophy.
  • BIIB and IONS plan to advance programs for a broad range of neurological diseases for which few treatment options exist today. Disease areas include dementia, neuromuscular diseases, movement disorders, ophthalmology, diseases of the inner ear, and neuropsychiatry.
  • Ionis will be responsible for the identification of antisense drug candidates based on selected targets, while Biogen will have the option to license therapies arising out of this collaboration and will be responsible for and pay for non-clinical studies, clinical development, manufacturing, and commercialization. In addition, Biogen may pay milestone payments, license fees and royalties on net sales.

 

Last six (6) sessions:

  • Tuesday closed POSITIVE with 14 decliners, 30 advancers and 1 flat;
  • Monday closed POSITIVE with 18 decliners, 25 advancers and 2 flat;
  • Friday (June 1) closed was POSITIVE with 15 decliners, 29 advancers and 1 flat;
  • Thursday (May 310 closed was POSITIVE with 12 decliners, 31 advancers and 2 flats;
  • Wednesday closed was POSITIVE with 12 decliners, 31 advancers and 2 flats;
  • Last Tuesday closed NEGATIVE with 27 decliners, 15 advancers and 3 flat;

 

MY working five (5) trend lines:

The greatest volume to the downside:  VCEL, BLUE, ADRO, BMRN and XON

Upside volume was weighted to:  VSTM, SGMO, RGNX, CRSP and ATHX

Biggest $ downside:  SAGE (-$2.13), BLUE (-$1.65), RARE (-$0.73), IONS (-$0.62) and FIXX (-$0.46)

Best moves to the $ upside: RGNX (+$4.50), QURE (+$2.04), EDIT (+$1.73), NTLA (+$1.50) and ONCE (+$1.40)

… Flats:  RENE.L

 

Daily analytics:

U.S. stocks closed mostly higher on Tuesday …

  • The Dow closed down -13.71 points or -0.6%, at 24,799.98.
  • The S&P 500 index was up +1.93 points or 0.7% at 2,748.80.
  • The NASDAQ advanced +31.40 points or +0.41% at 7,637.86.

 

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

  • Tuesday traded at 12.45, down -2.28%
  • Monday traded at 12.74, down -5.35%
  • Friday traded at 13.46, down -12.77%
  • Thursday traded at 15.43, up +3.38%
  • Wednesday traded at 14.89, down -2.14%
  • Last Tuesday traded at16.98, up +28.44%

 

The iShares Russell 2000 (IWM) closed:

  • Tuesday was up +0.61%; having indicating a DOWNSIDE of -0.08% in Tuesday’s pre-open
  • Monday was up +0.53%; having indicating an UPSIDE of +0.51% in Monday’s pre-open
  • Friday was up +0.65%
  • Thursday was down -0.84%
  • Wednesday was up +1.57%
  • Last Tuesday was down -0.12%

 

The iShares NASDAQ Biotechnology (IBB) closed:

  • Tuesday was up +0.03% having NOT indicated in the pre-open
  • Monday was down -0.65% having indicating an UPSIDE of +0.39%
  • Friday was up +1.28%
  • Thursday was down -0.06%
  • Wednesday was up +1.34%
  • Last Tuesday was down -0.45%

 

The count in June - decliners versus gainers:

……. look at the differences in decliners:

  • Tuesday’s decliners ranged from -0.13% <BOLD -$0.05> to -4.90% <ADRO -$0.35> in 14 equities;
  • Monday’s decliners ranged from -0.13% <OSIR -$0.01 > to -6.80% <RGNX -$3.65 > in 18 equities;
  • Friday’s decliners ranged from -0.09% <IONS -$0.04 > to -26.40% <ONVO -$0.52 > in 15 equities;
  • Thursday’s decliners ranged from -0.29% <BMRN -$0.26 > to -6.36% <CRSP -$4.68 > in 18 equities;
  • Wednesday’s decliners ranged from -0.24% <MDXG -$0.02 > to -3.13% <AST -$0.05> in 12 equities;
  • Last Tuesday’s decliners ranged from -0.22% < AXGN -$0.10> to -4.56% <BSTG -$0.13> in 27 equities;

Versus

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

  • Tuesday’s gainers ranged from +0.02% < ALNY +$0.02> to +8.99% <RGNX +$4.50 > in 30 equities;
  • Monday’s gainers ranged from +0.59% <CUR +$0.01 > to +8.90% <BLUE +$8.90 > in 25 equities;
  • Friday’s gainers ranged from +0.25% <CLBS +$0.01> to +9.09% <BSTG +$0.25 > in 29 equities;
  • Thursday’s gainers ranged from +0.15% <FIXX +$0.03 > to +67.39% < AXGN +$2.95> in 24 equities;
  • Wednesday’s gainers ranged from +0.07% <BMRN +$0.06 > to +7.03% <RGNX +$3.55 > in 31 equities;
  • Last Tuesday’s gainers ranged from +0.08% <ALNY +$0.08 > to +7.49% <SLDB +$1.42 > in 15 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.