January 24, 2019 5:32pm
January’s been a faltering month (in 16 sessions, there were 10 positive, 1 holiday and 6 negative closes) stay buckled-up for more sector volatility
As volume stats remain extremely low and percentage (%) indicators are creaky
Pre-open Indication: 6 HITs and 1 MISS
Out and about: ReNeuron Group’s (RENE.L +$1.00) first patient has been treated in the US P2b clinical study of its CTX cell therapy candidate for stroke disability <read more>
RegMed Investors’ willingness to provide the “facts in evidence” “surfaces” the realities of volatility and share pricing.
I remind those of magic words of fielding volatility; news, communication and transparency!
The 6 W’s: Who, what, where, when, why and what of it … so who has been where, done what?
- The Dow closed down -22.38 points or -0.09% to 24,553.24
- The S&P closed up +3.63 points or +0.14% to 2,642.33
- The NASDAQ was up +47.69 points or +0.68% to 7,073.46
Investors are keeping an eye on Washington as the U.S. government shutdown entered its 34th straight day.
I follow the dictum, quoting Churchill that “short words are best, and the old words when short are best of all.”
The RegMed sector suffers the tourist routine … most traders hear a piece of news, get excited or contemplate a pumping to decide to buy and a dumping to sell. These same buyers/sellers can also be very fickle as their purchasing habits are often based on emotion, not sound investment strategies.
The pre-open post stated, “I’m sticking to an oversold sector thesis … In most of the 45 companies covered; yet there are some I’d also avoid until post the quarterly result’s reporting cycle. Today’s buzz words: choppy indications and chaotic efforts in sector visibility.”
Out and about:
ReNeuron Group (RENE.L +$1.00) first patient has been treated in the US P2b clinical study of its CTX cell therapy candidate for stroke disability.
The study, designated PISCES III, is a randomized, placebo-controlled clinical trial involving 110 patients across 40 clinical trial sites in the US. Patients with stable post-stroke disability are entered into the study 6 to 12 months after their stroke and are randomized to receive either the CTX therapy or placebo treatment.
The primary end-point of the study is a comparison of the proportion of patients in the treated and placebo arms showing a clinically significant improvement on the Modified Rankin Scale, a measure of disability and dependence, at 6 months post-treatment compared with baseline.
Top-line results from the study are expected in early 2020.
Pre-open indications: 6 HITs and 1 MISS
- Asterias Biotherapeutics (NYSEMKT: AST) closed up +$0.017 – hit;
- Cellectis (CLLS) closed down -$0.16 – miss;
- CRISPRS Therapeutics (CRSP) closed up +0.89 – hit;
- Editas Medicine (EDIT) closed up +$1.23 – hit;
- Intellia Therapeutics (NTLA) closed up +$0.60 – hit;
- Ultragenyx Pharmaceutical (RARE) closed up +$0.21 – hit;
- uniQure (QURE) closed up +0.25 – hit;
The advance/decline line scenario of 45 covered companies:
- The open was barely positive with the A/DL to 20/19 and 6 flat;
- The first hour jumped with an A/DL of 33/12 and 0 flat;
- The mid-day stayed positive with an A/DL of 25/19 and 1 flat;
- The close continued positive with an A/DL of 31/12 and 2 flats;
Leading gainers: BLUE (after diving), SAGE 9after diving), EDIT, RENE.L and SLDB (after diving)
Largest losers: BMRN, FATE, VYGR, CLLS and IONS
Tonight’s percentage (%) indicators: creaky
- Review the range of the 31 upside from +0.29% (STML) to +11.46% (CUR +$0.0384) while the 12 downside ranged from -0.09% (RGNX) to -2.56% (VYGR) with 2 flat close (BCLI and ADRO).
Volume stats: extremely low
- 4 out of the 31 upside had higher (than the 3 month average) volume
- 0 out of the 12 downside experienced greater volume (than the 3 month average) volume
Daily sector metrics:
… Greatest volume (descending) to the downside: the usual suspects
- HSGX, IONS, BMRN, FATE and VYGR
… Upside volume was weighted to: barely
- VSTM, EDIT, MDXG, XON and ATHX
… Weakness ($) to the downside: scrawny
- BMRN (-$0.90), FATE (-$0.32), VYGR (-$0.21), CLLS (-$0.16) and IONS (-$0.16)
… Moves ($) to the upside: swelling
- BLUE (+$3.06), SAGE (+$1.49), EDIT (+$1.23), RENE.L (+$1.00) and SLDB (+$0.99)
… The week’s history lesson, the iShares NASDAQ Biotechnology (IBB) closed:
- Thursday was down -0.02% after NOT indicating;
- Wednesday was down -0.84% after indicating a negative -0.17% in the pre-open and -1.10% at the mid-day;
- Tuesday was down -1.58% after NOT indicating in the pre-open
- Monday was a market holiday
- The previous Friday was up +0.62% after NOT indicating in the pre-open
- Last Thursday was up +1.65% after NOT indicating
Thursday closed POSITIVE with 31 decliners, 12 advancers and 2 flat;
Wednesday closed NEGATIVE with 36 decliners, 8 advancers and 1 flat;
Tuesday closed NEGATIVE with 36 decliners, 7 advancers and 2 flats;
Monday was a market holiday;
Friday closed POSITIVE with 13 decliners, 30 advancers and 2 flats;
Thursday closed NEGATIVE with 22 decliners, 20 advancers and 3 flat;
Wednesday closed POSITIVE with 20 decliners, 23 advancers and 2 flat;
Tuesday closed POSITIVE with 11 decliners, 33 advancers and 1 flat;
Monday closed NEGATIVE with 32 decliners, 10 advancers and 3 flat;
Friday closed NEGATIVE with 23 decliners, 20 advancers and 2 flat;
Thursday closed POSITIVE with 19 decliners, 24 advancers and 2 flat;
Wednesday closed POSITIVE with 18 decliners, 26 advancers and 1 flat;
Tuesday closed POSITIVE with 18 decliners, 26 advancers and 1 flat;
Monday closed POSITIVE with 7 decliners, 38 advancers and 0 flats;
Friday closed POSITIVE with 5 decliners, 40 advancers and 0 flats;
Thursday closed NEGATIVE with 32 decliners, 11 advancers and 2 flats;
Wednesday (1/3/19) closed POSITIVE with 11 decliners, 34 advancers and 0 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.