July 18, 2020 1:32pm

Week in review …

Pre-open indications: 5 HIT and 3 MISS

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The Dow closed DOWN -62.76 points (-0.23%), the S&P closed UP +9.16 points (+0.28%) while the NASDAQ closed UP +29.36 points (+0.28%)

 

Pre-open indication results: 5 HITs < Biostage (BSTG -$0.05), bluebird bio (BLUE -$0.39), Sage Therapeutics (SAGE -$1.29), Pluristem (PSTI -$0.35), Regenxbio (RGNX +$0.41) and 2 MISS <Editas Medicine (EDIT +$0.02) CRISPR Therapeutics (CRSP +$1.03), 

 

Henry’omics:

Indexes closed Friday mostly along the flatline as traders concluded a volatile week.

The Dow (+2.3%) and S&P 500 (+1.3%) posted weekly gains while the Nasdaq fell (-1.1%). Also, the Russell 1000 Growth index fell 0.8% this week.

 

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

  • Friday opened positive at 22/11 and 2 flats, stayed positive at the mid-day at 22/12 and 1 flat, closing positive at 24/9 and 2 flats;
  • Thursday opened negative at 5/27 and 3 flats, stayed negative at the mid-day at 5/27 and 3 flats, closing negative at 7/25 and 3 flats;
  • Wednesday opened positive at 29/4 and 2 flats, stayed positive at the mid-day at 29/5 and 1 flat, closing positive at 30/4 and 1 flat;
  • Tuesday opened negative at 12/22 and 1 flat, strayed neutral at the mid-day at 17/17 and 1 flat, closing positive at 25/8 and 2 flats;
  • Monday opened positive at 21/11 and 3 flats, stayed positive at the mid-day at 22/9 and 4 flats, closing negative at 4/29 and 2 flats;

 

Key metrics:

  • Sector volume was LOW with 5 of the 24-upside having higher than the 3-month average volume and 2 out of the 9-downside having higher than the 3-month average volume;
  • Friday’s percentage (%) of the 24-upside were +0.06% (EDIT) to +9.58% (BLCM) while the 9-downside ranged from -0.06% (VCEL) to -3.83% (PSTI); 

 

Hammered in Friday’s market:

  • ReNeuron (RENE.L), bluebird bio (BLUE), Pluristem (PSTI), uniQure NV (QURE), Sage Therapeutics (SAGE) to name 5 of the 9 declining of the 35 covered

Jumping with share pricing momentum:

  • Alnylam Pharmaceuticals (ALNY), Global Blood Therapeutics (GBT), Brainstorm Cell Therapeutics (BCLI), CRISPR Therapeutics (CRSP) to name 5 of the 24 trading up of 35 covered

 

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

  • Friday, the IBB closed up +1.77% and XBI also closed up +2.10%
  • Thursday, the IBB closed down -0.82% and XBI also closed down -0.92%
  • Wednesday, the IBB closed up +1.68% and XBI also closed up +2.13%
  • Tuesday, the IBB closed up +2.12% and XBI also closed up +2.55%
  • Monday, the IBB closed down -1.34% and XBI also closed down -2.58%

 

Friday’s (10 of 24 incliners:

  • Alnylam Pharmaceuticals (ALNY +$2.33 after Thursday’s -$1.99);
  • Global Blood Therapeutics (GBT +$1.94);
  • Brainstorm Cell Therapeutics (BCLI +$1.15 after Thursday’s +$0.49);
  • CRISPR Therapeutics (CRSP +$1.03 after Thursday’s -$2.00, Wednesday’s +$2.41, Tuesday’s +$4.68 and Monday’s -$3.24);
  • Ultragenyx (RARE +$0.89);
  • Fate Therapeutics (FATE +$0.85 after Thursday’s -$1.32);
  • Adverum Biotechnologies (ADVM +$0.76);
  • Bellicum Pharmaceuticals (BLCM +$0.66);
  • Regenxbio (RGNX +$0.41 after Thursday’s -$1.46, Wednesday’s +$1.61 and Tuesday’s +$2.33);
  • Applied Genetic Technologies (AGTC +$0.41);

Friday’s (12 of 12) decliners:

  • ReNeuron (RENE.L -$3.25);
  • bluebird bio (BLUE -$0.39 after Thursday’s +$0.72, Wednesday’s +$3.08, Tuesday’s +$2.12 and Monday’s -$3.28);
  • Pluristem (PSTI -$0.35 after Thursday’s +$0.30);
  • uniQure NV (QURE -$0.29 after Thursday’s -$0.66, Wednesday’s +$1.39, Tuesday’s -$0.56 and Monday’s -$2.34);
  • Sage Therapeutics (SAGE -$0.20 after Thursday’s -$1.41, Wednesday’s +$1.60, Tuesday’s +$2.52 and Monday’s -$1.79);
  • MiMedx (OTC Pink sheets: MDXG -$0.17)
  • Precigen (PGEN -$0.09 after Thursday’s +$0.15);
  • Biostage (BSTG -$0.05 after Thursday’s +$0.21, Wednesday’s +$0.01, Tuesday’s -$0.02);
  • Ionis Pharmaceuticals (IONS -$0.04 after Thursday’s -$0.76 and Wednesday’s +$1.45);
  • Sangamo Therapeutics (SGMO -$0.03);
  • Mesoblast (MESO -$0.01);
  • Vericel (VCEL -$0.010:

Closing flat: 1 - Stemline Therapeutics (STML – being acquired)

 

Percentage (%) movement/range statistics: look closely … notice percentage (%) movements are declining

  • Friday’s percentage (%) of the 24-upside were +0.06% (EDIT) to +9.58% (BLCM) while the 9-downside ranged from -0.06% (VCEL) to -3.83% (PSTI); 
  • Thursday’s percentage (%) of the 7-upside were +0.81% (CLBS) to +7.66% (BSTG) while the 25-downside ranged from -0.13% (AXGN) to -6.04% (VYGR); 
  • Wednesday’s percentage (%) of the 30-upside were +0.08% (BCLI) to +7.37% (CLLS) while the 4-downside ranged from -0.70% (MDXG) to -17.33% (CLBS); 
  • Tuesday’s percentage (%) of the x-upside were +0.18% (CLLS) to +38.89% (CLBS) while the xx-downside ranged from -0.35% (GBT) to -4.11% (BLCM); 
  • Monday’s percentage (%) of the 4-upside were +0.60% (AXGN) to +6.40% (CLBS) while the 29-downside ranged from -0.10% (BLFS) to -9.91% (NTLA); 

 

Sentiment and a few daily indicators:

We’re stuck into this period of coronavirus cases increasing …

  • Friday’s 3.57 cases
  • Thursday’s 3.5 cases
  • Wednesday 3.43 million cases
  • Tuesday 3.3 million cases
  • Monday 3.3 million cases

Friday’s death rate totaled 138,000 after Thursday’s 137,846 after Wednesday’s 136,400 after Tuesday’s 135,900 after Monday’s 135,205 <Johns Hopkins University>

 

Upside volume stats: 

  • Friday: 5 out of the 24-upside had higher than the 3-month average volume;
  • Thursday: 3 out of the 7-upside had higher than the 3-month average volume;
  • Wednesday: 3 out of the 30-upside had higher than the 3-month average volume;
  • Tuesday: 5 out of the 25-upside had higher than the 3-month average volume;
  • Monday: 1 out of the 4-upside had higher than the 3-month average volume;

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Friday was down -2.32 points or -8.29% at 25.68
  • Thursday was down -0.21 points or -0.76% at 27.55
  • Wednesday was down -1.76 points or -5.96% at 27.76
  • Tuesday was down -2.67 points or -8.29% at 29.52
  • Monday was up +4.90 points or +17.96% at 32.19

Downside volume stats:

  • Friday: 2 out of the 9-downside had higher than the 3-month average volume;
  • Thursday: 2 out of the 25-downside had higher than the 3-month average volume;
  • Wednesday: 2 out of the 4-downside had higher than the 3-month average volume;
  • Tuesday: 3 out of the 8-downside had higher than the 3-month average volume;
  • Monday: 10 out of the 29-downside had higher than the 3-month average volume;

 

July

Friday closed positive with 24 advancers, 9 decliners and 2 flats

Thursday closed negative with 7 advancers, 25 decliners and 3 flats

Wednesday closed positive with 30 advancers, 4 decliners and 1 flat

Tuesday closed positive with 25 advancers, 8 decliners and 2 flats

Monday (7/13) closed negative with 4 advancers, 29 decliners and 2 flats

Friday closed negative with 9 advancers, 22 decliners and 4 flats

Thursday closed negative with 10 advancers, 24 decliners and 1 flat

Wednesday closed positive with 28 advancers, 5 decliners and 2 flats

Tuesday closed positive with 18 advancers, 12 decliners and 5 flats

Monday (7/6) closed positive with 19 advancers, 15 decliners and 1 flat

Friday was a market holiday;

Thursday closed positive with 18 advancers, 14 decliners and 3 flats

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

 

The Bottom line:  Haven’t change MY view …

Reiterating, “I believe we are at a scary time in the sector and the market – the upside is like “rolling thunder” however, I expect … yet another … reversal after the upside traffic!

Q2 results are coming, so will momentum last? I tend to be a contrarian – safety is NOT a virtue! Speculation has proved to be a VICE … it’s gambling in a bigger casino or on sports.

 

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.