February 8, 2019 5:33pm

… Formulating the sector’s response to “earnings” season

Volume stats: 5 out of the 25 upside had higher (than the 3 month average) volume while 4 out of the 18 downside experienced greater volume (than the 3 month average)

... And there is no end in sight in the next weeks of reporting

 

Pre-open Indication: 5 HITs and 3 MISS (1 by $0.01)

 

It’s not hard to be right so often, I start early, stay involved, leave late and am NOT indentured to ANY financial institution!

RMi outlines preludes and aftermaths defining the daily dose of factors, investment thesis and objectivity!

 

Markets and indexes:

  • The Dow closed down -63.33 points or -0.25% to 25,106.20
  • The S&P closed up +1.85 points or +0.07% to 2,707.89
  • The NASDAQ was up +9.85 points or +0.14% to 7,298.20

 

Henry’omics:

The sector was flips to the upside after three (3) down sessions as resistance were just waiting to be pushed.

Pre-open post, “oversold or overbought – when pricing reaches extreme levels, reversal is more than possible. During quarterly results i.e. earnings “season” – value is skewed; the forward question is what is the cash position and “runway” status?”

I also stated, “TGIF, maybe Monday will be better for the oversold.”

Bouncing to the upside: SAGE (+$5.08), QURE (+$3.31), RARE (+$1.56), RGNX (+$1.55) and GBT (+$0.87) while …

Leading the pack and peers to the downside were: ALNY (-$3.11), BLUE (-$1.28 after yesterday’s -$3.94), SGMO (-$0.59 after yesterday’s -$3.71), VYGR (-$0.19) and CLLS (-$0.15)

 

The advance/decline line scenario of 45 covered companies:  

  • The open was positive with the A/DL to 25/17 and 3 flats;
  • The mid-day was positive with an A/DL of 25/17 and 3 flats;
  • The close was positive with an A/DL of 25/18 and 2 flats;

 

Pre-open indications: 5 HITs and 3 MISS

  • Applied Genetic Technologies (AGTC) closed up +$0.24 – miss;
  • Pluristem (PSTI) closed down -$0.01 – hit;
  • Solid Bioscience (SLDB) closed up +$0.23 – miss;
  • CRISPR Therapeutics (CRSP) closed up +$0.61 – hit;
  • Editas Medicine (EDIT) closed up +$0.32 – hit;
  • Intellia Therapeutics (NTLA) closed up +$0.65– hit;
  • Organovo Holdings (ONVO) closed up +$0.01 – miss;
  • uniQure NV (QURE) closed up +$3.31 - hit; 

 

Shuffling to the down and upside:

Shares of Fate Therapeutics (FATE) closed up +$0.74 to $14.07 after Thursday’s -$0.86 to $13.33, Wednesday’s +$0.34 or +2.45% to $14.19% as the FDA cleared its IND application for FT516, a potential therapy for patients with certain blood cancers.

Verastem Oncology (VSTM +$0.03 after Thursday’s-$0.14) – still waiting for redemption

Athersys (ATHX) closed down again after the again -$0.02 to $1.52 following Thursday’s -$0.05, Wednesday’s -$0.01; with January ’19 starting at $1.48 while Feruary’18 was priced at $1.69. What’s the deal with the “option” with Helios, it’s still a “Sword of Damocles” over its head>

Histogenics (HSGX) continues its decline -$0.045 to $0.128 after Thursday’s minimal +$0.0005 and Wednesday’s bare +$0.0004 to $0.17 – another shareholder criminal after an offering of $0.66, as I had called it – “a sucker’s bet”. WHY haven’t there been legal suits against their BOD – there should be!

The CRISPR peer group is reacting to being oversold after a dive, a pop and a big dump – oversold, overbought - the newest of trading “vehicles”:

  • CRSP (closed UP +$0.61 after Thursday’s -$2.85, Wednesday’s +$0.19, Tuesday’s -$0.14,  Monday’s +$0.66 and last Friday’s -$0.51;
  • EDIT (closed up +$0.32 following Thursday’s -$1.67, Wednesday’s -$0.04, Tuesday’s -$0.77,  Monday’s +$0.31 and last Friday’s -$0.13;
  • NTLA (closed up +$0.65 following Thursday’s -$1.07,  Wednesday’s -$0.03, Tuesday’s -0.72 , Monday’s  +$0.47 and last Friday’s -$0.10;
  • There are a trading vehicle …

Global Blood Therapeutics (GBT closed up +$0.87 to $50.35 having dived -$1.44 on Thursday following Wednesday’s +$2.05; Tuesday’s +$0.07, Monday’s +$0.36 and last Friday’s +$0.53.

Closing FLAT … CUR and RENE.L

 

Daily analytics:

Past session’s history lesson, the iShares NASDAQ Biotechnology (IBB) closed: 4 negatives in a row …

  • Friday was up +0.63% after NOT indicating in the pre-market;
  • Thursday was down -2.50% after NOT indicating in the pre-market;
  • Wednesday was down -0.16% after NOT indicating in the pre-market;
  • Tuesday was down -0.18% after NOT indicating in the pre-market;
  • Monday was down -0.03% after NOT indicating in the pre-market;
  • Last Friday was up +0.53% after NOT indicating in the pre-market;

 

Tonight’s percentage (%) indicators: 

  • Range of the 25 upside was +0.09% (BOLD) to +9.98% (QURE) while the 18 downside ranged from -0.50% (AXGN) to -25.80% (HSGX) with 2 flat close (CUR and RENE.L).

Volume stat: 

  • 5 out of the 25 upside had higher (than the 3 month average) volume
  • 4 out of the 18 downside experienced greater volume (than the 3 month average)

 

Daily volume metrics:

… Greatest volume (descending) to the downside: 

  • HSGX, SGMO. ALNY, VSTM and XON

… Upside volume was weighted to:

  • MDXG, SLDB, EDIT, NTLA and QURE

 

February sessions:

Friday closed POSITIVE with 18 decliners, 25 advancers and 2 flat;

Thursday closed NEGATIVE with 37 decliners, 7 advancers and 1 flat;

Wednesday closed NEGATIVE with 24 decliners, 20 advancers and 1 flat;

Tuesday closed NEGATIVE with 26 decliners, 15 advancers and 4 flat;

Monday closed POSITIVE with 16 decliners, 27 advancers and 2 flat;

Friday closed POSITIVE with 14 decliners, 29 advancers and 2 flat;

 

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.