November 19, 2019 7:13pm

Until trends show evidence of weakening, trading is playing the uptrend

Until it pays to sell any upside!

Presenting alternative hypotheses clarifies material facts and evidence available to investors. “Devil’s Advocacy” also provides greater confidence that the current sector outlook will hold-up to close scrutiny!


 

Framing the main takeaway … pricing, volume, volatility and liquidity!

 

The Dow closed DOWN -102.20 (-0.36%), the S&P closed DOWN -1.85 points (-0.06%) and the NASDAQ closed UP +20.72 points (+0.24%)

 

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Tuesday the IBB closed up +2.21% while the XBI closed up +2.18%
  • Monday the IBB closed down -0.26% while the XBI closed up +0.24%
  • Friday the IBB closed up +1.50% while the XBI closed up +1.34%

 

 

The advance/decline line scenario of 45 covered companies:

  • Tuesday the close was positive with an A/D line of 34/11, 1 flat, 1 reversed merged (HSGX) and 2 acquired;

 

  • Monday the close was negative with an A/D line of 18/22, 2 flats, 1 reversed merged (HSGX) and 2 acquired;

 

  • Friday the close was positive with an A/D line of 26/13, 3 flats, 1 reversed merged (HSGX) and 2 acquired;

 

                                                    

Henry’omics:

The three indexes (DOW, S&P and NASDAQ) recorded intraday all-time highs during the session

 

So, goes the sector - with 6 positive and 7 negative closes in November and we haven't yet hit the lows of tax selling!

 

Decliners:

  • ReNeuron (RENE.L -$2.50 after Monday’s +$11.50);
  • bluebird bio (BLUE -$1.00);
  • Cellectis SA (CLLS -$0.10);
  • Caladrius Biosciences (CLBS -$0.06);
  • Pluristem (PSTI -$0.02);

Incliners:

  • CRISPR Therapeutics (CRSP +$9.93 after Monday’s +$1.66 and Friday’s +$1.81);
  • Alnylam Pharmaceuticals (ALNY +$5.20 after Monday’s +$0.68 and Friday’s +$1.59);
  • Global Blood Therapeutics (GBT +$3.35 after Monday’s +$0.74, Friday’s +$2.41 and Thursday’s -$1.49);
  • BioMarin Pharmaceuticals (BMRN +$2.56);
  • Audentes Therapeutics (BOLD +$2.43);

 

The percentage (%) indicators: 

  • Tuesday’s range of the 34 upside was +0.16% (ONCE) to +16.87% (CRSP) while the 7 downside ranged from -0.13% (AXGN) to -2.11% (CLBS);

 

  • Monday’s range of the 18 upside was +0.01% (BLUE) to +11.50% (RENE.L) while the  22 downside ranged from -0.23% (VYGR) to -4.75% (VSTM);

 

  • Friday’s range of the 26 upside was +0.12% (BOLD) to +13.75% (ONVO) while the  13 downside ranged from -0.48% (SGMO) to -4.45% (VSTM);

 

Upside volume stats:  to compare

  • Tuesday: 15 out of the 34 upside had higher than the 3 month average volume;
  • Monday: 8 out of the 18 upside had higher than the 3 month average volume;
  • Friday: 8 out of the 26 upside had higher than the 3 month average volume;

Downside volume stats:

  • Tuesday: 2 out of the 7 downside had higher than the 3 month average volume;
  • Monday: 5 out of the 22 downside had higher than the 3 month average volume;
  • Friday: 7 out of the 13 downside had higher than the 3 month average volume;

 

1 flat – BSTG with 1 reverse merged (HSGX), 2 acquired (AST & OSIR) and Spark Therapeutics’ (ONCE) acquisition by Roche could be soon according to rumors from FTC by year’s end.

 

November’s sessions:

Tuesday closed POSITIVE with 7 decliners, 34 advancers, 1 flat and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Monday closed NEGATIVE with 22 decliners, 18 advancers, 2 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Friday closed POSITIVE with 13 decliners, 26 advancers, 3 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Thursday closed NEGATIVE with 25 decliners, 17 advancers, 0 flat and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Wednesday closed NEGATIVE with 29 decliners, 12 advancers, 1 flat and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Tuesday closed NEGATIVE with 29 decliners, 12 advancers, 1 flat and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Monday closed NEGAIVE with 27 decliners, 14 advancers, 1 flat and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Friday closed POSITIVE with 11 decliners, 29 advancers, 2 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Thursday closed POSITIVE with 18 decliners, 21 advancers, 3 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Wednesday closed NEGATIVE with 27 decliners, 13 advancers, 2 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Tuesday closed POSITIVE with 17 decliners, 23 advancers, 2 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Monday closed NEGATIVE with19 decliners, 22 advancers, 1 flat and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

Friday closed POSITIVE with 7 decliners, 33 advancers, 2 flats and 2 acquired (AST & OSIR) and 1 reversed (HSGX);

 

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.