RegMed Investors’ (RMi) closing bell: a spasmodic trading week, what goes down …

September 4, 2020 5:25pm

Will resurrect, as bottom feeders will be welcoming the fallen

Biostage (BSTG -$0.00) Chronicles:  Question is it a national security risk for science and technology loss?

Week in review …

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.

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The Dow closed DOWN -159.42 points (-0.56%), the S&P closed DOWN -28.10 points (-0.81%) while the Nasdaq closed DOWN – 144.97 (-1.27%)

Henry’omics:

Indexes gyrated wildly throughout Friday’s session as the RegMed, cell and gene therapy sector experienced another massive sell-off following the previous session’s wipe-out.

• The Dow was down more than 600 points at one point;
• All the major benchmarks fell for the week as tech shares declined;
• The U.S. unemployment rate fell to 8.4% last month from 10.2% in July;
• Next week will be a shortened trading week as U.S. markets are closed on Monday for Labor Day.

This a.m. I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open:  sector braces for the worst and a few inclines … https://www.regmedinvestors.com/articles/11532

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

• Friday opened positive at 17/16 and 2 flats, flipped negative at 10:30 a.m. to 2/32 and 1 flat, stayed negative at the mid-day at 3/31 and 1 flat, closing negative at 5/28 and 2 flats;
• Thursday opened negative at 11/20 and 4 flats, stayed negative at the mid-day at 2/32 and 1 flat, closing negative at 2/32 and 2 flats;
• Wednesday opened negative at 9/22 and 3 flats, stayed negative at the mid-day at 13/21 and 1 flat, closing negative at 18/25 and 2 flats;
• Tuesday (9/1) opened negative at 14/18 and 3 flats, stayed negative at the mid-day at 8/25 and 12 flats, closing negative at 4/29 and 4 flats;
• Monday opened positive at 17/16 and 2 flats, stayed positive at the mid-day at 24/10 and 1 flat, closing positive at 24/8 and 3 flats;

Key metrics:

• Sector volume was LOW with 4 of the 5-upside having higher than the 3-month average volume and the 8 of 28-downside having higher than the 3-month average volume;

• Friday’s percentage (%) of the 5-upside were +0.33% (IONS) to +7.52% (BLCM) while the 28-downside ranges from -0.89% (SGMO) to -8.01% (PGEN); 

Hammered in today’s market:

• CRISPR Therapeutics (CRSP), bluebird bio (BLUE), Alnylam Pharmaceuticals (ALNY), ReNeuron (RENE.L), Ultragenyx (RARE) to name 5 of the 28 declining of the 35 covered

Jumping with share pricing momentum:

• Vericel (VCEL), Bellicum Pharmaceuticals (BLCM), Ionis Pharmaceuticals (IONS), AxoGen (AXGN), Applied Genetic Technologies (AGTC) to name 5 of the 5 trading up of 35 covered

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

• Friday, the IBB closed down -0.48% and XBI also closed down -1.14%
• Thursday, the IBB closed down -3.75% and XBI also closed down -3.73%
• Wednesday, the IBB closed up +1.47% and XBI also closed up +0.98%
• Tuesday, the IBB closed down -1.90% and XBI also closed down -2.01%
• Monday, the IBB closed up +1.92% and XBI also closed up +2.78%

Friday’s (5 of 5) incliners:

• Vericel (VCEL +$0.67);
• Bellicum Pharmaceuticals (BLCM +$0.43);
• Ionis Pharmaceuticals (IONS +$0.34 after Thursday’s +$0.21 and Wednesday’s +$0.79);
• AxoGen (AXGN +$0.05);
• Applied Genetic Technologies (AGTC +$0.04 after Thursday’s +$0.67);

Friday’s (10 of 28) decliners:

• CRISPR Therapeutics (CRSP -$3.67 after Thursday’s -$8.24 and Wednesday’s +$0.51);
• bluebird bio (BLUE -$2.54);
• ReNeuron (RENE.L -$2.50 after Wednesday’s -$1.90);
• Alnylam Pharmaceuticals (ALNY -$2.36 after Thursday’s -$5.47);
• Ultragenyx (RARE +$2.28 after Thursday’s -$2.77, Wednesday’s -$1.44, Tuesday’s -$2.76 and Monday’s -$0.63);
• Editas Medicine (EDIT -$1.47 after Thursday’s -$4.22 and Wednesday’s +$1.13);
• Global Blood Therapeutics (GBT -$1.43 after Thursday’s -$1.81, Wednesday’s +$1.79, Tuesday’s -$2.33 and Monday’s +$0.75);
• Fate Therapeutics (FATE -$1.28 after Thursday’s -$2.56, Wednesday’s -$0.72, Tuesday’s -$0.73 and Monday’s +$0.42);
• Mesoblast (MESO -$1.11);
• Regenxbio (RGNX -$0.93);

Closing flat: 2 – Biostage (BSTG) and Stemline Therapeutics (STML – acquired)

Percentage (%) movement/range statistics: 360 degrees comparisons

• Friday’s percentage (%) of the 5-upside were +0.33% (IONS) to +7.52% (BLCM) while the 28-downside ranges from -0.89% (SGMO) to -8.01% (PGEN); 
• Thursday’s percentage (%) of the 2-upside were +0.38% (IONS) to +13.01% (AGTC) while the 32-downside ranges from -0.40% (SGMO) to -13.43% (NTLA); 
• Wednesday’s percentage (%) of the 18-upside were +0.19% (NTLA) to +7.66% (BCLI) while the 25-downside ranges from -0.22% (CLLS) to -4.66% (CLBS); 
• Tuesday’s percentage (%) of the 4-upside were +0.38% (VCEL) to +6.33% (BLFS) while the 29-downside ranges from -0.04% (CRSP) to -9.92% (BLCM); 
• Monday’s percentage (%) of the 24-upside were +0.10% (MESO) to +10.32% (ADRO) while the 8-downside ranges from -0.19% (FIXX) to -4.55% (VSTM); 

Sentiment and a few daily indicators:

With Labor Day weekend approaching, top U.S. health officials are pleading with the American public to maintain public safety precautions, such as mask-wearing and social distancing.

• Friday 6.15 cases
• Thursday 6.11 cases
• Wednesday 6.07 cases
• Tuesday 6.05 cases
• Monday 6 cases

Friday’s day’s death rate totaled 186,800 after Thursday’s 185,700, Wednesday’s 184,600, Tuesday’s 184,114, Monday’s 183,200 and last Friday’s 180.800 <Johns Hopkins University>

Stats:

Upside volume: 

• Friday: 4 out of the 5-upside had higher than the 3-month average volume;
• Thursday: 2 out of the 2-upside had higher than the 3-month average volume;
• Wednesday: 3 out of the 18-upside had higher than the 3-month average volume;
• Tuesday: 2 out of the 4-upside had higher than the 3-month average volume;
• Monday: 4 out of the 24-upside had higher than the 3-month average volume;

The CBOE Volatility Index (VVIX: INDEX) tracked:

• Friday was down -2.85 points or +8.48% at 30.75
• Thursday was up +7.03 points or +26.46% at 33.60
• Wednesday was up +0.45 points or +1.72% at 26.57
• Tuesday was down -0.29 points or -1.10% at 26.12
• Monday was up +3.45 points or +15.03% at 25.41

Downside volume:

• Friday: 8 out of the 28-downside had higher than the 3-month average volume;
• Thursday: 6 out of the 32-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: 6 out of the 29-downside had higher than the 3-month average volume;
• Monday: 1 out of the 8-downside had higher than the 3-month average volume;

September, the third month of Q3 …

Friday closed negative with 5 advancers, 28 decliners and 2 flats

Thursday closed negative with 2 advancers, 32 decliners and 1 flat

Wednesday closed negative with 18 advancers, 25 decliners and 2 flats

Tuesday (9/1) closed negative with 4 advancers, 29 decliners and 2 flats

The Bottom line:  I have stated emphatically throughout this period, new then newer highs scared me.

And look what happened …

Now flip the coin, the oversold need to be recognized!

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.