August 18, 2020 5:26pm

Pre-open indication results: 5 HITs and 2 MISS as <the Biostage (BSTG) Chronicles get sunk -$0.81 to $1.35 or -37.50%>

An “intelligence newspaper” for smart investing in the RegMed, gene and cell therapy sector.  I say today what others won't, so you can do what others can't.

Subscription is coming, my gift to you, I've kept RMi subscription FREE during these COVID-19 and volatile times!

The Dow closed DOWN -66.84 points (-0.24 %), the S&P closed UP +7.79 points (+0.23%) while the NASDAQ closed UP +81.21 points (+0.73%)

 

Pre-open indication results: 5 HITs < Biostage (BSTG -$0.81), Athersys (ATHX -$0.10), Brainstorm cell Therapeutics (BCLI -$0.53), Mesoblast (MESO -$0.89), Ionis Pharmaceuticals (IONS -$0.34) and 2 MISS <uniQure NV (QURE -$0.31), Editas Medicine (EDIT +$0.51) >

 

Henry’omics:

The Dow got capped, the S&P 500 rose to an all-time high on Tuesday, achieving its recovery from the coronavirus-induced sell-off that knocked it off its previous record back in February.

  • The S&P 500 tumbled more than 30% from its February record as the coronavirus pandemic sent profit expectations and economic activity tanking.

This a.m. I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: an opening gain projected … https://www.regmedinvestors.com/articles/11506

As I stated this a.m., “Enjoy the highs while they last” … and they didn’t. I make a commitment to provide need-to-know “facts in evidence” as equity’s volatility is one tactical signal for stocks.

Continue to “get a grip” on your portfolio, the worst isn’t over …

 

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

  • Tuesday opened negative at 8/26 and 1 flat, stayed negative at the mid-day at 9/24 and 2 flats, closing negative at 13/20 and 2 flats;
  • Monday opened positive at 27/7 and 1 flat, stayed positive at the mid-day at 29/4 and 2 flats, closing positive at 29/4 and 2 flats;

 

Key metrics:

  • Sector volume was LOW with 2 of the 13-upside having higher than the 3-month average volume and the 3 of 20-downside having higher than the 3-month average volume;
  • Tuesday’s percentage (%) of the 13-upside were +0.03% (RGNX) to +13.81% (SLDB) while the 20-downside ranges from -0.41% (PSTI) to -37.50% (BSTG); 

 

Hammered in today’s market:

  • Sage Therapeutics (SAGE), Mesoblast (MESO), Biostage (BSTG), Alnylam Pharmaceuticals (ALNY), Brainstorm Cell Therapeutics (BCLI) to name 5 of the 20 declining of the 35 covered

Jumping with share pricing momentum:

  • CRISPR Therapeutics (CRSP), Cellectis SA (CLLS), Editas Medicine (EDIT), Solid Biosciences (SLDB), Intellia Therapeutics (NTLA) to name 5 of the 13 trading up of 35 covered

 

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

  • Tuesday, the IBB closed down -0.57% and XBI also closed down -0.88%
  • Monday, the IBB closed up +1.97% and XBI also closed up +3.50%

 

Tuesday’s (10 of 20) incliners:

  • CRISPR Therapeutics (CRSP +$3.27 after Monday’s +$2.15);
  • Cellectis SA (CLLS +$0.74);
  • Editas Medicine (EDIT +$0.51 after Monday’s +$1.73);
  • Solid Biosciences (SLDB +$0.37 after Monday’s -$0.06);
  • Intellia Therapeutics (NTLA +$0.35);
  • Ultragenyx (RARE +$0.34 after Monday’s +$2.45);
  • Fate Therapeutics (FATE +$0.34);
  • Aduro Biotech (ADRO +$0.30);
  • Sangamo Therapeutics (SGMO +$0.21):
  • Vericel (VCEL +$0.15);

Tuesday’s (10 of 13) decliners:

  • Sage Therapeutics (SAGE -$1.38 after Monday’s +$3.41);
  • Mesoblast (MESO -$0.89 after Monday’s +$1.93);
  • Biostage (BSTG -$0.81 after Monday’s -$0.04);
  • Alnylam Pharmaceuticals (ALNY -$0.78 after Monday’s +$4.56);
  • Brainstorm Cell Therapeutics (BCLI -$0.53 after Monday’s +$1.12);
  • Global Blood Therapeutics (GBT -$0.48 after Monday’s +$3.43);
  • bluebird bio (BLUE -$0.41 after Monday’s +$2.59);
  • Bellicum Pharmaceuticals (BLCM -$0.40 after Monday’s -$0.21);
  • Homology Medicine (FIXX -$0.35);
  • Ionis Pharmaceuticals (IONS -$0.34 after Monday’s +$1.21);

Closing flat: 2 – ReNeuron (RENE.L) and Stemline Therapeutics (STML – acquired)

 

Percentage (%) movement/range statistics: comparisons

  • Tuesday’s percentage (%) of the 13-upside were +0.03% (RGNX) to +13.81% (SLDB) while the 20-downside ranges from -0.41% (PSTI) to -37.50% (BSTG); 
  • Monday’s percentage (%) of the 29-upside were +0.58% (CLLS) to +13.26% (PGEN) while the 4-downside ranges from -1.82 (BSTG) to -3.05% (BLCM); 

 

Sentiment and a few daily indicators:

U.S. coronavirus cases appear to be ticking lower, with the seven-day average of newly reported infections falling below 50,000 for the first time in nearly a month. The U.S. reported 35,112 new cases of the virus on Monday, bringing the average over the past seven days to 49,132, down nearly 10% compared with a week ago

  • Tuesday 5.45 cases
  • Monday 5.4 cases
  • Friday 5.25 cases
  • Last Monday 5.05 cases,

Tuesday’s day’s death rate totaled 171,013 after Monday’s 170,000, Friday’s 167,200, Thursday’s 166,623, Wednesday’s 164,900 and last Tuesday’s 163,400 <Johns Hopkins University>

 

Stats:

Upside volume: 

  • Tuesday: 2 out of the 13-upside had higher than the 3-month average volume;
  • Monday: 5 out of the 29-upside had higher than the 3-month average volume;

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Tuesday was up +0.16 points or +0.75% at 21.51
  • Monday was down -0.70 points or -3.17% at 21.35
  • Friday was down -0.08 points or -0.36% at 22.05

Downside volume:

  • Tuesday: 3 out of the 20-downside had higher than the 3-month average volume;
  • Monday: 2 out of the 4-downside had higher than the 3-month average volume;

 

August, the second month of Q3 …

Tuesday closed negative with 13 advancers, 20 declines and 2 flats

Monday (8/17) closed positive with 29 advancers, 4 declines and 2 flats

Friday closed negative with 10 advancers, 23 decline and 2 flats

Thursday closed positive with 19 advancers, 11 decline and 4 flats

Wednesday closed negative with 13 advancers, 19 declines and 3 flats

Tuesday closed negative with 3 advancers, 32 declines and 1 flat

Monday (8/10) closed positive with 25 advancers, 8 declines and 2 flats

Friday closed positive with 21 advancers, 11 declines and 3 flats

Thursday closed negative with 11 advancers, 23 decline and 1 flat

Wednesday closed positive with 19 advancers, 15 declines and 1 flat

Tuesday closed negative with 13 advancers, 20 declines and 2 flats

Monday (8/3) closed positive with 31 advancers, 1 decline and 3 flats

 

The Bottom line:  It’s not hard to be right so often, it’s about refining expectation, defining insight and NOT being indentured to ANY financial institution! That’s why my “quantamental” blend of the two styles has become common parlance among investors and traders.

On vacation … yet, I end up doing more than usual … there will be a re-do!

I am back to my constant theme; new highs scare me and are usually the time to SELL into STRENGTH.

As I had stated, sector investors should be prepared for some profit-taking.

A message to Biostage (BSTG -$0.81 with 44,466 shares traded <3 month average =1,250> after Monday’s -$0.04, Friday’s -$0.45, Thursday’s -$0.22, Wednesday’s flat and last Tuesday’s -$0.02) investors … a broken company, with a “spent” cash and debt position as the new Q2 reported; inexcusable management incompetence needs to be “extinguished” by Nasdaq investors uniting to push-out the “swindlers” continue on the griddle of “going concern”!

Mrs. bin Zhou, BSTG’s major investor - you have tolerated the “fools” – go back to the ONE you asked to come in and FIX the “problems” – you’re getting too close to rectify this company. The clock is ticking …

You can lead a horse to water but you can't make him drink' is a proverb which means that you can give investors an opportunity but can’t force them to take it.

 

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.