Indication intelligence, analysis and sector perception

RegMed Investors’ (RMi) closing bell: too many investors treat volatility as a measure of risk but, the real issue is the loss of capital

September 8, 2018 11:33am

The wall of worry was climbed; however, the immediate effect was to again create uncertainty about yet another decline

Pre-open indications: 4 HITs and 1 MISS

When is it wrong to be RIGHT in sector prognosis? Maybe because I’m NOT I-Bank fee driven!

Who is defining the metrics for individual investors? Your portfolio should be profiting from RMi’s analysis!

Henry’omics:

Even deliver multiple states away - congrats to neice - Kelley and Neil's marriage!! Last night's pre-parties and dinner were great, the morning walk - well I caved but, made it back - someone had to hit the brekfast buffet!

There are lots of uncertainties in the sector right now after all the volatility.

The Cboe Volatility index (VIX), widely considered the best gauge of fear in the market, rose 1.6% on Friday and 15.8% this week.

Markets were under pressure after strong wage data stoked fears of tighter monetary policy in the U.S. Average hourly earnings rose 2.9% for the month on an annualized basis, marking the largest jump since 2009. The U.S. economy added 201,000 jobs in August, more than the expected increase of 191,000.

Treasury yields jumped to their highs of the session following the jobs report release, while the dollar also rose. The Fed has already raised rates twice this year and is largely expected to hike two more times before year-end <CNBC>.

From the pre-open newsletter: “the shifting sands of share pricing. The lack of pricing stability inhibits perception and sentiment’s sustainability. A bounce-back is needed.”

For the week, the NASDAQ dropped 2.6%; while the S&P 500 declined -1% and Dow declined 0.2%.

Pre-open indications: 4 HITs and 1 MISS

bluebird bio (BLUE) closed down -$0.75 – miss;
CRISPR Therapeutics (CRSP) closed up +$0.26 – hit;
Intellia Therapeutics (NTLA) closed up +$0.17 – hit;
Editas Medicine (EDIT) closed up +$0.24 – hit;
Verastem Oncology (VSTM) closed up +$0.2 – hit;

Of the 45 companies covered on Friday; 15 downside equities finished in a range of -0.49% (BLUE) to -10.19% (ADRO) while 23 upside equity oscillated from +0.07% (RGNX) to +13.62% (BFFS) with 7 flat closes (RENE.L, STML, BLCM, BSTG, ONVO, BTX and AST).

Daily analytics and metrics:

The Dow declined 79.33 points to 25,916.54 as Intel lagged. The Dow also snapped a three-week winning streak.
The S&P 500 pulled back 0.2% to close at 2,871.68. The index also posted its first negative week in five.
The NASDAQ fell 0.3% to 7,902.54.

The advance/decline line scenario of 45 covered companies:

The open was positive with an A/DL of 27/14 and 4 flats;
The mid-day continued positive with an A/DL of 33/6 and 6 flats;
The close was positive with an A/DL of 23/15 and 7 flats;

Daily volume anomaly (increased volume versus 3 month average):

BOLD – volume was up and pricing was down
HSGX – volume was up and pricing was barely up (+$0.004)

Four (4) key metrics:

… The greatest volume to the downside: BOLD, XON, IONS, ALNY and AXGN

… Upside volume was weighted to: SGMO, HSGX, VSTM, MDXG and BMRN

… Leadership ($) to the downside: ALNY (-$3.13), AXGN (-$2.75), SAGE (-$2.55), BOLD (-$2.08) and ADRO (-$0.80)

… Best moves ($) to the upside: BLFS (+$2.54), BMRN (+$1.88), ONCE (+$0.73Z), SGMO (+$0.70) and FATE (+$0.62)

The iShares NASDAQ Biotechnology (IBB) closed:

Friday was down -0.57%
Thursday was down -1.78%
Wednesday was down -0.30%
Tuesday was down -0.97%
Monday was a holiday
Last Friday was up +0.16%

September sessions:

Friday’s closed with 15 decliners, 23 advancer and 7 flats
Thursday’s closed with 39 decliners, 1 advancer and 5 flats
Wednesday’s closed with 30 decliners, 12 advancers and 3 flats
Tuesday’s (9/4) closed with 22 decliners, 19 advancers and 4 flats

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.

35 companies, 1 interpreter!

Insight, foresight and recommendation

My motto … never leave an investor uninformed! I say today what others won’t, so you can do what others can’t.

My name is Henry McCusker; I endorse these opinions under my own name and with a subscription based membership.

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Editor and Publisher ... Henry McCusker enters his tenth (10th) year at RegMed Investors with past experience in sell-side analysis, buy-side management, corporate management and due diligence.

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The facts stated and the opinions given in this publication are based on data and information considered to be reliable and have been carefully worked into my qualitative analyses and prognoses. However, no guarantee can be given as to their fairness, accuracy or completeness.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.