February 26, 2020 5:25pm
Electronic and algorithmic trading drives today’s action
The question of the week so far, how are we pricing in risk versus uncertainty?
I make a commitment to provide need-to-know “facts in evidence” as equity’s volatility is one tactical signal for stocks
The Dow closed DOWN -123.77 points (-0.46%), the S&P closed DOWN -11.82 points (-0.38%) while the NASDAQ closed UP +15.16 points (+0.17%)
Henry’omics:
Machine and algorithmic trading are setting the “rules’ of buying and selling sector equities in volatile mode after each new report concerning the coronavirus.
The news overnight was not positive in terms of containing the spread of the coronavirus. South Korea reported 169 new cases, bringing the country’s total to 1,146 infected. In Italy, infections now total 325 and cases are now being seen beyond the original epicenter in the north. China reported 406 new confirmed cases, and an additional 52 deaths. <CNBC>
The Cboe Volatility Index or the “fear gauge,” traded at 28.4 near its highest level since December 2018.
Staying in today’s, yesterday and the previous pricing doghouse were:
- bluebird bio (BLUE);
- Regenxbio (RGNX);
- uniQure NV (QURE);
- Vericel (VCEL);
- Sage Therapeutics (SAGE);
Breaking out of the paddock were:
- Ionis Pharmaceuticals (IONS +$0.72);
- Global Blood Therapeutics (GBT +$0.79);
- AxoGen (AXGN +$0.87);
- Homology Medicine (FIXX +$0.24);
- Fate Therapeutics (FATE +$1.51)
- Biostage (BSTG +$0.29);
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Wednesday the IBB closed UP +1.56% and XBI closed UP +0.49%
- Tuesday the IBB closed down -3.04% and XBI closed down -2.83%
- Monday, the IBB closed down -2.63% and XBI closed down -3.43%
The advance/decline line scenario of 35 covered companies:
- Wednesday, the close was negative with an A/D line of 17/ 18, 0 flat of 35 covered;
- Tuesday, the close was negative with an A/D line of 4/31, 0 flat of 35 covered;
- Monday, the close was negative with an A/D line of 5/30, 0 flat of 35 covered;
Wednesday’s 5 low decliners:
- ReNeuron (RENE.L -$7.50);
- Vericel (VCEL -$1.65);
- Brainstorm Cell Therapeutics (BCLI -$1.57);
- Alnylam Pharmaceuticals (ALNY -$1.24);
- uniQure NV (QURE -$0.96);
Wednesday’s 5 top incliners:
- Fate Therapeutics (FATE +$1.51);
- CRISPR Therapeutics (CRSP +$0.99);
- Ultragenyx (RARE +$0.91);
- AxoGen (AXGN +$0.87);
- Global Blood Therapeutics (GBT +$0.79);
The percentage (%) indicators:
- Wednesday’s range of the 17-upside was +0.49% (PSTI) to +9.67% (BSTG) while the 18-downside ranged from -0.01% (BLUE) to -17.68% (BCLI);
- Tuesday’s range of the 4-upside was +0.51% (VYGR) to +15.97% (BCLI) while the 31-downside ranged from -0.98% (FATE) to -16.99% (AXGN);
- Monday’s the range of the 5-upside was +0.11% (BLCM) to +11.21% (BCLI) while the 30-downside ranged from -0.68% (AXGN) to -9.51% (CLLS);
Upside volume stats: to compare
- Wednesday: 2 out of the 17-upside had higher than the 3-month average volume;
- Tuesday: 2 out of the 4-upside had higher than the 3-month average volume;
- Monday: 4 out of the 5-upside had higher than the 3-month average volume;
Downside volume stats:
- Wednesday: 4 out of the 18-downside had higher than the 3-month average volume;
- Tuesday: 10 out of the 31-downside had higher than the 3-month average volume;
- Monday: 10 out of the 30-downside had higher than the 3-month average volume;
0 flat
February
Wednesday closed negative with 18 decliners, 17 advancers and 0 flat
Tuesday closed negative with 31 decliners, 4 advancers and 0 flat
Monday closed negative with 30 decliners, 5 advancers and 0 flats
Friday vacation
Thursday vacation
Wednesday closed positive with 10 decliners, 25 advancers and 0 flat
Tuesday closed positive with 16 decliners, 18 advancers and 1 flat
Monday markets were closed for President’s Day holiday
Friday closed negative with 19 decliners, 14 advancers and 2 flats
Thursday closed negative with 20 decliners, 13 advancers and 2 flats
Wednesday closed positive with 8 decliners, 26 advancers and 1 flat
Tuesday closed positive with 12 decliners, 22 advancers and 1 flat
Monday closed positive with 6 decliners, 26 advancers and 3 flats
Friday closed negative with 26 decliners, 9 advancers and 0 flat
Thursday closed negative with 23 decliners, 12 advancers and 0 flat
Wednesday closed positive with 5 decliners, 27 advancers and 3 flats
Tuesday closed positive with 5 decliners, 30 advancers and 0 flats
Monday (2/3) closed positive with 8 decliners, 24 advancers and 3 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.
