Indication intelligence, analysis and sector perception

RegMed Investors’ (RMi) closing bell: Trading jumped-on the oversold condition

January 2, 2019 5:45pm

While investors are still traumatized by past month, quarter and end-of-year

Volume remains LOW as compared to the 3 month averages!

Out and about: Another a.m. statement, “Investors are beginning 2019 with anxiety and negative sentiment, centered on the share depletion curve of the sector’s “health” which has fueled an aversion to assets perceived as risky!”

Investors should be reading about today’s final “figures” – be a subscriber and be ready for Thursday’s session!

The 6 W’s: Who, what, where, when, why and what of it …

Daily analytics:

The Dow closed up +18.78 points or +0.08% to 23,346.24
The S&P closed up +3.18 points or +0.13% to 2,510.03
The NASDAQ was up +30.65 points or +0.46% to 6,665.94

Henry’omics:

Sector equities posted slight gains on Wednesday after a volatile session kicked off 2019 as traders’ bought-the-dips of the oversold. Waits a week or less and many will be considered – overbought and ripe for profiting … IF any BIG news emanates from the JPMorgan healthcare conference.

Volume remains LOW as compared to the 3 month averages!

Technically, I see signs of a bottom forming and recommend investors “dip-their beaks” in some equities but, not all as Q4 results LOOM in the short-term future!

The sessions morning issues included - China's Markit Manufacturing Purchasing Managers' Index (PMI) for December dipped to 49.7 from 50.2 in November. The euro zone manufacturing PMI remained at its lowest level since February 2016, according to IHS Markit. The data also showed confidence about the future hit a fresh six-year low. In the U.S., the IHS Markit manufacturing PMI slipped to a 15-month low in December.

Leading gains were: FIXX, SLDB (was down Monday), RGNX, CRSP and surprisingly CLBS led the sector while the downsiders – SAGE, RARE, RENE.L, IONS (was down Monday) and QURE stumbled.

AGTC is slowly evolving UP +$0.16 to $2.65 – there is $5.81 in cash per share as I have continually pointed out!

BSTG (+$0.09) is going BROKE as a NEW financing is being SOUGHT by maybe a convertible debt offering (?) - BEWARE! What and which U.S. investor would step-up, NO IND. Still a failed developmental company with management that has NEV ER DELIVERED on its promises wasting up to $55 M over the past four years!

ATHX is up +$0.04 to $1.48 with moderate (449.5 K shares traded) volume – 3 month average =610.8 K shares; on 1/3/18 ATHX was priced at $1.82 and management expects investors to step-up re an option (is a possibility) from Helios??

The CHRISPERs are UP: CRSP (+$1.30 after Monday’s $1.82), EDIT (+$0.59 after Monday’s $2.03) and NTLA (+$0.05 after Monday’s 0.68) – be prepared for a share pricing SLIDE.

From the pre-open newsletter: “New Year, what expectation? Depends on news or the lack thereof … Value initiatives: platform development, advancing trials, enrollments, Q4 results, spending and runways as the caveats of share pricing, the question is can managements guide and communicate their way out of this abyss.

As I stated, “I am HOLDING all equities – panic selling will get us nowhere just as the emotion selling has downgraded sector equities in December – if anything, I’d be CHARTING for upside stocks!”

The advance/decline line scenario of 45 covered companies:

The open was negative with an A/DL of 9/35 and 1 flat;
The mid-day was positive with an A/DL of 28/17 and 0 flat;
3 p.m. saw a continued up swing to the A/DL of 31/14 and 0 flat;
The close was positive with an A/DL of 34/11 and 0 flat;

Daily sector metrics:

… Greatest volume to the downside: IONS, SAGE, ALNY, RARE and BMRN

… Upside volume was weighted to: HSGX, XON, VSTM, MDXG and ADRO

… Weakness ($) to the downside: SAGE (-$6.34), RARE (-$1.76), RENE.L (-$0.50), IONS (-$0.29) and QURE (-$0.29)

… Moves ($) to the upside: FIXX (+$2.15), SLDB (+$2.12), RGNX (+$1.38), CRSP (+$1.30) and CLBS (+$1.18)

… The week’s history lesson, the iShares NASDAQ Biotechnology (IBB) closed:

Wednesday was up +0.15% after indicating a NEGATIVE -1.7% downside in the pre-market;
Tuesday was a holiday;
Monday was not reported;
Friday was down -0.34% after NOT indicating in the pre-market;
Thursday was up +0.03% after NOT indicating in the pre-market;
Last Wednesday was up +5.80% after indicating a POSITIVE +0.09% in the pre-market;

Tonight’s percentage (%) indicators:

Review the range of the 34 upside from +0.19% (GBT) to +38.69% (HSGX +$0.03) while the 11 downside ranged from -0.07% (OSIR) to -5.62% (SAGE) with 0 flat closes.

Volume stat:

14 out of the 34 upside had higher (than the 3 month average) volume
4 out of the 11 downside experienced greater volume (than the 3 month average)

January sessions:

Wednesday (1/3/19) closed POSITIVE with 11 decliners, 34 advancers and 0 flats;

Q4 tracking:

In 21 sessions in December – there were 8 positive close; 1 neutral, 2 market closes and 10 negative close;
In 22 sessions in November – there were 1 holiday, 10 positive closes, 1 neutral and 10 negative closes;
In 23 sessions in October – there were 17 negative closes and 6 positive closes

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