August 28, 2020 7:14pm
Pre-open indication results: 6 MISS and 0 MISS
The Biostage (BSTG -$0.46 or -23.71% to $1.48 after a $4.00 Private Placement) Chronicles includes a day’s range of $1.74 to a low of $0.80 (NASDAQ OTC listing is potentially at risk) with highest volume in years of 71,846 shares. This could all have been avoided … if they had initiated “Forward Motion” strategic plan
Week in review …
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The Dow closed UP +161.60 points (+0.57%), the S&P closed UP +23.46 points (+0.67%) while the NASDAQ closed UP +70.30 points (+0.60%)
Pre-open indication results: 6 HITS <Biostage (BSTG -$0.46, bluebird bio (BLUE +$0.37), Applied Genetic Technologies (AGTC +$0.14), Sell into strength – CRISPR Therapeutics (CRSP +$1.29), Pluristem (PSTI +$0.25), Mesoblast (MESO +$0.76) and 0 MISS
Henry’omics:
Indexes rose on Friday to wrap up another strong week on a high note as the Dow erased its losses of 2020. The Nasdaq has been positive and the S&P 500 is now up more than 8% for the year.
From this morning’s Data Docket, “On the data front, U.S. consumer spending rose 1.9% in July, topping a (Reuters) forecast of a 1.5% gain. Personal income was also stronger than expected, rising 0.4% while economists had forecast a drop of 0.2%.”
This a.m. I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: what is the difference between concern and worry? … https://www.regmedinvestors.com/articles/11522
RegMed/Cell and Gene therapy 35 covered equities’ Advance/Decline (A/D) lines: progressions and regressions …
- Friday opened positive at 17/15 and 3 flats, flipped negative at the mid-day at 12/21 and 2 flats, closing positive at 27/8 and 2 flats;
- Thursday opened negative at 11/21 and 3 flats, stayed negative at the mid-day at 12/22 and 1 flat, closing negative at 17/16 and 2 flats;
- Wednesday opened negative at 9/21 and 4 flats, stayed negative at the mid-day at 13/13 and 1 flat, closing negative at 8/25 and 2 flats;
- Tuesday opened positive at 18/14 and 3 flats, stayed positive at the mid-day at 29/6 and 2 flats, closing positive at 30/3 and 2 flats;
- Monday opened negative at 14/19 and 2 flats, stayed negative at the mid-day at 8/24 and 3 flats, closing negative at 7/26 and 2 flats;
Key metrics:
- Sector volume was LOW with 0 of the 25-upside having higher than the 3-month average volume and the 2 of 8-downside having higher than the 3-month average volume;
- Friday’s percentage (%) of the 25-upside were +0.09% (FIXX) to +6.74% (SAGE) while the 8-downside ranges from -0.35% (ADRO) to -23.71% (BSTG);
Hammered in today’s market:
- ReNeuron (RENE.L), Alnylam Pharmaceuticals (ALNY), Global Blood Therapeutics (GBT), Biostage (BSTG), Vericel (VCEL), MiMedx (OTC Pink sheets: MDXG), Athersys (ATHX), Aduro Biotech (ADRO) to name 8 of the 8 declining of the 35 covered
Jumping with share pricing momentum:
- Sage Therapeutics (SAGE), Ultragenyx (RARE), Fate Therapeutics (FATE), CRISPR Therapeutics (CRSP), Intellia therapeutics (NTLA) to name 5 of the 25 trading up of 35 covered
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Friday, the IBB closed up +0.29% and XBI also closed up +0.85%
- Thursday, the IBB closed down -0.11% and XBI also closed down -0.81%
- Wednesday, the IBB closed down -0.17% and XBI also closed down -1.24%
- Tuesday, the IBB closed up +1.53% and XBI also closed up +1.20%
- Monday, the IBB closed down -1.17% and XBI also closed down -2.39%
Friday’s (10 of 25) incliners:
- Sage Therapeutics (SAGE +$3.14 after Thursday’s -$0.51 and Wednesday’s -$3.03);
- Ultragenyx (RARE +$1.70 after Thursday’s +$0.41, Wednesday’s -$3.47, Tuesday’s +$2.52 and Monday’s -$3.03);
- Fate Therapeutics (FATE +$1.33 after Thursday’s +$0.35);
- CRISPR Therapeutics (CRSP +$1.29 after Thursday’s +$0.51);
- Intellia Therapeutics (NTLA +$0.87 after Thursday’s -$0.28);
- Mesoblast (MESO +$0.76 after Thursday’s +$0.25, Wednesday’s +$0.67, Tuesday’s -$1.04 and Monday’s +$0.19);
- uniQure NV (QURE +$0.65 after Thursday’s +$0.40, Wednesday’s -$1.81 and Tuesday’s +$1.64);
- Editas Medicine (EDIT +$0.54 after Thursday’s -$0.21);
- Brainstorm Cell therapeutics (BCLI +$0.41);
- bluebird bio (BLUE +$0.37);
Friday’s (8 of 8) decliners:
- ReNeuron (RENE.L -$2.60);
- Alnylam Pharmaceuticals (ALNY -$1.64);
- Global Blood Therapeutics (GBT -$0.53);
- Biostage (BSTG -$0.46);
- Vericel (VCEL -$0.24);
- MiMedx (OTC Pink sheets; MDXG -$0.10);
- Athersys (ATHX -$0.04);
- Aduro Biotech (ADRO -$0.01 after Thursday’s -$0.18);
Closing flat: 2 – Bellicum Pharmaceuticals (BLCM) and Stemline Therapeutics (STML – acquired)
Percentage (%) movement/range statistics: 360 degrees comparisons
- Friday’s percentage (%) of the 25-upside were +0.09% (FIXX) to +6.74% (SAGE) while the 8-downside ranges from -0.35% (ADRO) to -23.71% (BSTG);
- Thursday’s percentage (%) of the 17-upside were +0.07% (RGNX) to +14.12% (BSTG) while the 17-downside ranges from -0.05% (BLUE) to -6% (ADRO);
- Wednesday’s percentage (%) of the 8-upside were +0.49% (PSTI) to +21.43% (BSTG) while the 25-downside ranges from -0.01% (CRSP) to -6.05% (SAGE);
- Tuesday’s percentage (%) of the 30-upside were +0.08% (BLUE) to +5.91% (ATHX) while the 3-downside ranges from -0.64% (BLCM) to -5.56% (MESO);
- Monday’s percentage (%) of the 7-upside were +0.20% (PSTI) to +4.52% (VYGR) while the 26-downside ranges from -0.09% (FIXX) to -13.58% (BSTG);
Sentiment and a few daily indicators:
The Trump administration announced the acquisition of 150 million new rapid coronavirus tests manufactured by Abbott Labs as part of a roughly $750 million deal, cornering nearly all of the supply the company expects to produce through 2020. The new test is cheap, produces results quickly and can be administered without the use of scarce and technical lab equipment. The Department of Health and Human Services said the tests will “potentially” be deployed to schools and “special needs populations.” <CNBC>
- Friday 5.8 cases
- Thursday 5.8 cases
- Wednesday 5.7 cases
- Tuesday 5.75 cases
- Monday 5.7 cases
Friday’s death rate totaled 180.800 after Thursday’s 179,700 after Wednesday’s 178,500 after Tuesday’s 177,773 following Monday’s 176,800 <Johns Hopkins University>
Stats:
Upside volume:
- Friday: 0 out of the 25-upside had higher than the 3-month average volume;
- Thursday: 3 out of the 17-upside had higher than the 3-month average volume;
- Wednesday: 2 out of the 8-upside had higher than the 3-month average volume;
- Tuesday: 1 out of the 30-upside had higher than the 3-month average volume;
- Monday: 0 out of the 7-upside had higher than the 3-month average volume;
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Friday was down -1.51 points or -6.17% at 22.96
- Thursday was up +1.09 points or +4.68% at 24.35
- Wednesday was up +1.24 points or +5.63% at 23.27
- Tuesday was down -0.34 points or -1.52% at 22.03
- Monday was down -0.23 points or -1.02% at 22.32
Downside volume:
- Friday: 2 out of the 8-downside had higher than the 3-month average volume;
- Thursday: 1 out of the 16-downside had higher than the 3-month average volume;
- Wednesday: 2 out of the 25-downside had higher than the 3-month average volume;
- Tuesday: 2 out of the 3-downside had higher than the 3-month average volume;
- Monday: 7 out of the 26-downside had higher than the 3-month average volume;
August, the second month of Q3 …
Friday closed positive with 25 advancers, 8 decliners and 2 flats
Thursday closed positive with 17 advancers, 16 decliners and 2 flats
Wednesday closed negative with 8 advancers, 25 decliners and 2 flats
Tuesday closed positive with 30 advancers, 3 decliners and 2 flats
Monday (8/24) closed negative with 7 advancers, 26 decliners and 2 flats
Friday closed negative with 12 advancers, 22 decliners and 1 flat
Thursday closed negative with 12 advancers, 22 decliners and 1 flat
Wednesday closed negative with 16 advancers, 17 decliners and 2 flats
Tuesday closed negative with 13 advancers, 20 decliners 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
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 is Friday and the month of August is coming to a close on Monday (8/31).
I welcome the upside as the sector was oversold; although certain equities have failings that are being recognized.
However, transparency is very important because investors can review and understand what's going on to the future.
I believe, “broken companies, with a “spent” cash position and debt position as Q2 reported relate to Inexcusable management incompetence which need to be “extinguished” with investors uniting to push-out the “exploiters” who continue on the griddle of “going concern”!
When you’re on a roller coaster, the only thing you can be sure of is you’ll end up back where you started
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.
