July 2, 2020 8:57am

It’s just a matter of what’s sustainable, resistance levels and algorithmic “rules”

Pre-open indications: 2 BUY and 9 SELLs   

News: BrainStorm Cell Therapeutics (BCLI) the final participant dosing has been administered in in the P3 pivotal trial of NurOwn® (MSC-NTF cells) in amyotrophic lateral sclerosis (ALS). amyotrophic lateral sclerosis (ALS) The trial enrolled approximately 200 participants, randomized 1:1 to receive three doses of MSC-NTF cells or placebo, administered over four months.  BCLI expects top-line data from the trial to be available in 4/2020, consistent with the timeline established upon trial enrollment – BUY.

What I provide is an intelligence daily. Where are the canaries in the sector coal mine, am I the only one?  Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors who make money and for those who read and don’t weep!

Can you afford NOT to read it?  Shortened week due to Independence Day being celebrated on Friday

Dow futures are UP +1.74% (+419 points), S&P futures are UP +1.32% (+41 points) and NASDAQ futures are +0.97% (+99 points)

 

Futures contracts tied to the major U.S. stock indexes rose as jobs reports on the week’s final day of trading ahead of the July Fourth holiday;

European stocks traded higher as global markets received a boost from news surrounding the development of a potential coronavirus vaccine while the pan-European Stoxx 600 climbed 1.3% by mid-morning;

Asia Pacific rose following positive news overnight about the development of a potential coronavirus vaccine and the MSCI Asia ex-Japan index gained 1.94%.

 

Data docket: 4.8 million jobs were created in June, the closely-watched Labor Department employment report showed on Thursday. Economists were expecting 2.9 million jobs were created. The unemployment rate fell to 11.1% from 13.3% in May. Economists were expecting a rate of 12.4%, according to Dow Jones.

The Labor Department said Thursday that initial jobless claims rose by 1.427 million in the week ending June 27. Economists polled by Dow Jones expected initial U.S. jobless claims to rise by another 1.38 million, down from 1.48 million the week earlier. The data also showed the number of continuing claims — the number of people receiving unemployment benefits for consecutive weeks — rose to 19.29 million, an increase of about 59,000.

 

 

Henry’omics:

Another year older (today) – not counting) and still a spring in my step to further yard work as sequestering has kept be very busy close to home!

Traders accredited Wednesday’s gains to optimism over a Covid-19 vaccine being developed by Pfizer and BioNTech, Thursday’s multiple jobs reports loom large into the holiday weekend. <CNBC>

Next week and the rest of July and August, the start of the RegMed/cell and gene therapy sector  earning’s season is fraught with uncertainty!

 

Wednesday’s night post’s title: “sector racks it up as the Nasdaq inclines to all-time high.”

  • The NASDAQ closed UP +95.86 points (+0.95%);
  • The IBB closed up +0.50% and XBI also closed up +0.46%
  • Wednesday (7/1) opened positive and closed positive;
  • Sector volume was LOW with 6 out of the 24-upside having higher than the 3-month average volume and 0 out of the 7-downside having higher than the 3-month average volume;
  • Wednesday’s percentage (%) of the 24-upside were +0.14% (ADVM) to +26.84% (AXGN) while the 7-downside ranged from -0.23% (BLUE) to -4.17% (ATHX); 

Q3:

  • Wednesday (7/1) closed positive with 24 advancers, 7 decliners and 4 flats

Previous seven (7) sessions:

  • Tuesday closed positive with 21 advancers, 11 decliners and 3 flats
  • Monday (6/29) closed positive with 10 advancers, 23 decliners and 2 flats
  • Friday closed negative with 4 advancers, 29 decliners and 2 flats
  • Thursday closed positive with 25 advancers, 8 decliners and 2 flats
  • Wednesday closed negative with 9 advancers, 24 decliners and 2 flats
  • Tuesday closed positive with 20 advancers, 11 decliners and 4 flats
  • Monday (6/22) closed positive with 24 advancers, 8 decliners and 3 flats

 

Companies in my headlights – It’s your decision; I provide an idea and context:

Maintaining SELL:

Biostage (BSTG) closed flat again on Wednesday and Tuesday at $2.51 after Friday’s -$0.01 and Thursday’s -$0.29 and has more issues that will affect the stock which only moves with day trading as approximately 92% of the millions of private shares just added 3 million to managements personal pockets i.e. “employee benefit plan security offering” – RUN. A new 8-K was filed 7/1/2020, “Warrant Extension. BSTG previously issued warrants to acquire shares of common stock with an exercise price of $3.70 per share (the U.S. public shares barely trading at $2.51 on negligible volume)that were immediately exercisable until June 30, 2020. BSTG has extended the expiration date of such warrants to September 30, 2020 pertaining to warrants exercisable for an aggregate of 497,878 shares of common stock. MORE DILUTION is coming and a desperate need for financing! There is NO hope of a U.S. financing and with the issues in China don’t set a lot of hope;

BUY:

Applied Genetic Technologies (AGTC) closed up +$0.29 after Tuesday’s -$0.38 and has a positive +$0.29 or +2.06% aftermarket indication;

SELL

AxoGen (AXGN) closed up +$2.49 or +26.95% to $11.73 after Tuesday’s +$0.09 and has a negative -$0.18 or -1.53% aftermarket indication post news of financing;

BioLife Solutions (BLFS) closed down -$0.31 to $16.04 and has a negative -41.44 or -8.98% aftermarket indication post announcing a financing;

CRISPR Therapeutics (CRSP) closed up +$5.01 or +6.82% to $78.50 after Tuesday’s -$1.56 and Monday’s +$1.01 and has a negative -$0.23 or -0.29% aftermarket indication;

ReNeuron (RENE.L) closed flat at $144.00 after Monday’s +$7.50 and being flat on last Friday RENE.L reflects a negative pre-market indication -$3.90 or -2.71%;

SELL into Strength:

Fate Therapeutics (FATE) closed up +$1.83 or +5.33% to $36.14 after Tuesday’s +$1.70 and Monday’s -$1.20) and has a +$0.16 or +0.44% aftermarket indication;

Global Blood Therapeutics (GBT) closed up +$7.31 or +11.58% to $70.44 and has a positive +$0.81 or +1.15% aftermarket indication;

Regenxbio (RGNX) closed up +$1.92 or +5.21% to $38.75 and has a negative -$0.50 or -1.20% aftermarket indication;

Vericel (VCEL) closed up +$1.05 or +7.60% to $14.87 after Tuesday’s +$0.26 and Monday’s $0.53 and has a positive +$0.18 or +1.21% aftermarket indication;

 

The BOTTOM LINE: I’m repeating myself from last night’s post, “I am always espousing CAUTION, a lot of optimism is priced into current pricing and … I’m also worried about earning releases as August approaches, so let July roll but, keep your canteen full and powder dry!”

A quote from MarketWatch, “The stock market has been detached from economic reality. Investors, drunk with “hopium,” bored at home and unable to bet on sports, have turned the stock market into a casino.”

“Some are of the same ilk … WHAT will BREAK resistance lines?”

 

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.