May 7, 2020 5:38pm

When you’re on a roller coaster, the only thing you can be sure of is you’ll end up back where you started

Pre-open indications follow-up: 4 HITs <Adverum (ADVM -$0.81, CRISPR Therapeutics (CRSP +$1.20); ReNeuron (RENE.L +$25.00), Mesoblast (MESO -$0.34)> and 3 MISS <Alnylam Pharmaceuticals (ALNY -$4.182), Editas Medicine (EDIT -$1.06), Mesoblast (MESO -$0.34)>

An “intelligence newspaper” for smart investing in the RegMed, gene and cell therapy sector.  Check the BOTTOM LINE <read more>


The Dow closed UP +211.25 points (+0.89%), the S&P closed UP +32.77 points (+1.15%) while the NASDAQ closed UP +125.27 points (+4.41%)

 

Henry’omics:

Indexes rose on Thursday, clawing back their steep losses for the year, as markets mounted more bets on the U.S. economy reopening soon.

  • Thursday marked the first time one of the major averages was up year to date since the coronavirus pandemic led to the closure of nonessential businesses, sparking massive layoffs and a historic market sell-off.

Thursday’s gains came even as another 3.17 million Americans filed for unemployment benefits last week, bringing the seven-week total to 33.5 million.

  • while jobless claims continue to rise, last week’s tally was the lowest since shortly after the coronavirus was declared a pandemic.

Volume INCREASED with 3 out of the 11-upside having higher than the 3-month average volume and 9 out of the 22-downside having higher than the 3-month average volume. The percentage (%) of the 11-upside were +0.58% (STML) to +17.73% (RENE.L) while the 22-downside ranged from -0.27% (SAGE) to -15.87% (AXGN).

Hammered in today’s market:

  • AxoGen (AXGN), Global Blood Therapeutics (GBT), Alnylam Pharmaceuticals (ALNY), Ionis Pharmaceuticals (IONS), Ultragenyx (RARE), Intellia Therapeutics (NTLA), Adverum Biotechnologies (ADVM) to name a few of the 22

Jumping in today’s sector:

  • ReNeuron (RENE.L), bluebird bio (BLUE), CRISPR Therapeutics (CRSP), BioLife Solutions (BLFS), Bellicum Pharmaceuticals (BLCM) to name a few of the 11

 

Q1/2020 results will be disseminated through Regenerative Medicine Earnings Scorecard - Q1/20 - to date https://www.regmedinvestors.com/articles/11332

 

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

  • Thursday, the IBB closed up +0.13% and XBI also closed up +0.15%
  • Wednesday, the IBB closed up +0.02% and XBI also closed up +0.50%
  • Tuesday, the IBB closed up +1.95% and XBI also closed up +2.14%
  • Monday, the IBB closed up +3.02% and XBI also closed up +5.06 %

 

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Thursday was down -2.55 points or -7.47% at 31.57,
  • Wednesday was up +0.51 points or +1.52% at 34.12,
  • Tuesday was down -2.66 points or -7.40% at 33.36,
  • Monday was down -1.22 points or -3.28% at 35.97,

 

RegMed/Cell and gene therapy 35 covered equities’ Advance/Decline (A/D) lines: progressions and regressions …

  • Thursday opened positive at 23/12, strayed negative at the mid-day at xx/xx and 3 flats and closed negative at 11/22 and 2 flats;
  • Wednesday opened positive at 17/14 and 4 flats, stayed positive at the mid-day at 21/11 and 3 flats and closed positive at 20/13 and 2 flats;
  • Tuesday opened positive at 30/5, stayed positive at the mid-day at 32/2 and 1 flat and closed positive at 25/10;
  • Monday opened positive at 28/7, stayed positive at the mid-day at 24/11 and closed positive at 28/7;

 

Thursday’s (top 10) incliners:

  • ReNeuron (RENE.L +$25.00;
  • bluebird bio (BLUE +$4.50 after Wednesday’s -$1.37);
  • CRISPR Therapeutics (CRSP +$1.16 after Wednesday’s +$0.33 and Tuesday’s +$2.60);
  • BioLife Solutions (BLFS +$0.58);
  • Bellicum Pharmaceuticals (BLCM +$0.44);
  • Applied Genetic Technologies (AGTC +$0.20);
  • Cellectis SA (CLLS +$0.13 after Wednesday’s +$0.25);
  • Vericel (VCEL +$0.12 after Wednesday’s +$0.38);
  • Athersys (ATHX +$0.08 after Wednesday’s -$0.01 after Tuesday’s -$0.01);
  • Stemline therapeutics (STML +$0.07);

Thursday’s (bottom 10) decliners:

  • Global Blood Therapeutics (GBT -$4.38 after Wednesday’s +$2.50, Tuesday’s +$1.62 and Monday’s +$3.41);
  • Alnylam Pharmaceuticals (ALNY -$3.82 after Wednesday’s +$4.04, Tuesday’s +$5.27 and Monday’s +$7.66);
  • Ionis Pharmaceuticals (IONS -$3.25 after Wednesday’s -$1.22);
  • Ultragenyx (RARE -$3.14 after Wednesday’s +$1.58, Tuesday’s -$0.04 and Monday’s +$6.07);
  • AxoGen (AXGN -$1.57);
  • Editas Medicine (EDIT -$0.91 after Wednesday’s -$0.59, Tuesday’s +$0.66 and Monday’s +$2.74);
  • Adverum Biotechnologies (ADVM -$0.75 after Wednesday’s +$1.45 and Tuesday’s +$4.60);
  • Pluristem (PSTI -$0.61 after Wednesday’s -$0.28);
  • uniQure NV (QURE -$0.59 after Wednesday’s -$0.62 and Tuesday’s +$1.33);
  • Voyager therapeutics (VYGR -$0.58 after Wednesday’s -$0.10);

 

Percentage (%) movement/range statistics: look closely …

  • Thursday’s % of the 11-upside were +0.58% (STML) to +17.73% (RENE.L) while the 22-downside ranged from -0.27% (SAGE) to -15.87% (AXGN); 
  • Wednesday’s % of the 20-upside were +0.17% (STML) to +7.66% (ADVM) while the 13-downside ranged from -0.33% (ADRO) to -6.52% (BCLI); 
  • Tuesday’s % of the 25-upside were +0.14% (IONS) to +38.35% (ADVM) on acquisition news while the 10-downside ranged from -0.06% (RARE) to -3.38% (MDXG); 
  • Monday’s % of the 28-upside were +0.07% (VCEL) to +154.84% (STML) on acquisition news while the 7-downside ranged from -0.25% (AGTC) to -7.46% (BSTG); 

 

Sentiment and a few daily indicators:

Two (2) right-on quotes that speak to market emotion:  

  • “The equity market is telling you, as a leading indicator, that there are scenarios for the economy that aren’t as draconian as some of the things you read in the press,” said Tom Wright, director of equities at JMP Securities.”
  • “As awful as these figures are, it is the least number of claims since mid-March as we’ve likely cycled through the worst of the forced shutdown. We can now start analyzing the pace of reopenings, the level of business and what that new reality will look like,” said Peter Boockvar, chief investment officer at Bleakley Advisory Group.

The number of confirmed U.S. coronavirus cases: every day I get sadder as I post these numbers …

  • Thursday 1.2 million
  • Wednesday 1.2 million
  • Tuesday 1.1 million
  • Monday’s 1.1 million,

Thursday’s death rate escalated to a total of 74,431after Wednesday’s 71,526 after Tuesday’s 70,115, Monday’s 67,686, Friday’s 63,019 from last Thursday’s 60,999 <John Hopkins University>

 

Upside volume stats: 

  • Thursday: 3 out of the 11-upside had higher than the 3-month average volume;
  • Wednesday: 9 out of the 20-upside had higher than the 3-month average volume;
  • Tuesday: 6 out of the 25-upside had higher than the 3-month average volume;
  • Monday: 9 out of the 28-upside had higher than the 3-month average volume;

Downside volume stats:

  • Thursday: 9 out of the 22-downside had higher than the 3-month average volume;
  • Wednesday: 2 out of the 13-downside had higher than the 3-month average volume;
  • Tuesday: 4 out of the 10-downside had higher than the 3-month average volume;
  • Monday: 1 out of the 7-downside had higher than the 3-month average volume;

Closing flat: 0

 

May

Thursday closed negative with 22 decliners, 11 advancer and 2 flats

Wednesday closed positive with 13 decliners, 20 advancer and 2 flats

Tuesday closed positive with 10 decliners, 25 advancer and 0 flats

Monday (5/4) closed positive with 7 decliners, 28 advancer and 0 flats

Friday (5/1) closed negative with 25 decliners, 8 advancer and 2 flats

 

The BOTTOM LINE: As I had anticipated, many upsides were capped by selling into strength.

I am NOT gloating but, I follow the dictum, quoting Churchill that “short words are best, and the old words when short are best of all.”

 

 

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.