February 13, 2019 6:00pm
The sector opened with a positive Advance/Decline Line (A/DL) of 29/14 and 2 flats and closed negative with an A/DL of 19/25 and 1 flat
The sector surrendered in sight of the wall of worry, another I told you so!
While volume remains low as 0 out of the 25 downside experienced greater volume (than the 3 month average) within February’s nine (9) sessions, four (4) negative endeavored five (5) positive closes
Pre-open indications: 3 HITs and 1 MISS
It’s not hard to be right so often; that’s why the term “quantamental,” a blend of the two styles, may soon become common parlance among investors and traders.
There are a variety of end uses to sector forecasts; the most prominent, they are used to protect your portfolio’s life and value.
Markets and indexes:
- The Dow closed up +117.51 points or +0.46% to 25,543.27
- The S&P closed up +8.30 points or +0.30% to 2,753.03
- The NASDAQ was up +5.76 points or +0.08% to 7,420.38
The sector had gotten ahead of itself – i.e. the overbought became the sold as I had anticipated.
Yesterday’s S&P’s numbers spoke to me … from last night, “The S&P 500 also closed above its 200-day moving average — a closely watched level by traders — for the first time since December 3rd … warned me off!
Pre-open post, “market actions compel focus to be on short-termism; don’t ignore the being in the beginning of quarterly “earnings” season – the LPS (loss-per-share) countdown (4 of 45 covered so far). Current BUY or SELL execution must be “early”; sometimes leaving money on the table is better than losing most of an investment. Forget the new normal, realize the latest abnormal.”
Pre-open indications: 3 HITs and 1 MISS
- CRISPER Therapeutics (CRSP) closed down -$0.53 - hit;
- Editas Medicine (EDIT) closed down -$0.34 - hit;
- Intellia therapeutics (NTLA) closed down -$0.14 - hit;
- Sangamo Therapeutics (SGMO) closed down -$0.15 – miss;
The advance/decline line scenario of 45 covered companies:
- The open was positive with the A/DL to 29/14 and 2 flats;
- The mid-day was positive with an A/DL of 21/20 and 3 flats;
- The close was negative with an A/DL of 19/25 and 1 flat;
Bouncing to the upside:
- SAGE (+$3.74 after yesterday’s +$3.35 after Monday’s -$1.24), IONS (+$0.88), SLDB (+$0.74), ALNY (+$0.56 after yesterday’s +$3.02) and FIXX (+$0.39)
Leading the pack and peers to the downside were:
- QURE (-$2.31 after yesterday’s +$2.07), RGNX (-$1.73), RARE (-$0.97 after yesterday’s +$2.27), CRSP (-$0.53) and EDIT (-$0.34)
Closing FLAT … RENE.L
Tonight’s percentage (%) indicators:
- Range of the 19 upside was +0.02% (BMRN) to +5.88% (ONVO) while the 25 downside ranged from -0.06% (ONCE) to -5.88% (QURE) with 1 flat close (RENE.L).
- 4 out of the 19 upside had higher (than the 3 month average) volume
- 0 out of the 25 downside experienced greater volume (than the 3 month average)
Daily volume metrics:
… Greatest volume (descending) to the downside:
- SGMO, VSTM, XON, EDIT and GBT
… Upside volume was weighted to:
- HSGX, SLDB, ONVO, MDXG and IONS
Beware the “Ides of March” of reporting season:
Athersys (ATHX) closed down again -$0.02 after Tuesday’s -$0.02, Monday’s +$0.03, Friday’s -$0.02 to $1.52 following Thursday’s -$0.05 and last Wednesday’s -$0.01. January ’19 opened 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>;
Biostage (BSTG) closed up +$0.06 with 1,288 shares traded, Tuesday’s -$0.06 with 596 shares traded after Monday’s +$0.06 with 2,200 shares traded. After BLOWING $59 M in four years with NO clinical approvals or even an one … IND filed, it’s an investment going WHERE (?) – Only day traders are “toying” with it;
Pluristem (PSTI) closed up +$0.01 after Tuesday’s -$0.01 to $1.01 after news of a $50 M offering – talk about building a hole to crawl out from;
The CRISPR peer group is reacting to being overbought after a dive, a pop and a big dump – oversold, overbought - the newest of trading “vehicles”:
- CRSP (closed down -$0.53 after Tuesday’s +$0.51 and Monday’s +$0.74;
- EDIT (closed down -$0.34 after Tuesday’s +$0.32 after Monday’s +$0.22;
- NTLA (closed down -$0.17 after Tuesday’s +$0.21 after Monday’s +$0.27;
- As I had said, they were getting RICH again and just waiting for a retrace …
Verastem Oncology (VSTM closed down -$0.02 after Tuesday’s +$0.08 following Monday’s -$0.11 after Friday’s +$0.03 and last Thursday’s-$0.14) – up, down, round and round;
Past session’s history lesson, the iShares NASDAQ Biotechnology (IBB) closed:
- Wednesday was up +0.30% after NOT indicating in the pre-market;
- Tuesday was up +1% after NOT indicating in the pre-market;
- Monday was up +0.50% after NOT indicating in the pre-market;
- Friday was up +0.63% after NOT indicating in the pre-market;
- Thursday was down -2.50% after NOT indicating in the pre-market;
- Last Wednesday was down -0.16% after NOT indicating in the pre-market;
Wednesday closed NEGATIVE with 25 decliners, 19 advancers and 1 flat;
Tuesday closed POSITIVE with 11 decliners, 33 advancers and 1 flat;
Monday closed POSITIVE with 14 decliners, 30 advancers and 1 flat;
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.