September 22, 2020 5:41pm
The oversold sector sang in the rain and rallied to the upside
Pre-open indication results: 5 HITs and 0 MISS
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 UP +140.48 points (+0.52%), the S&P closed UP +34.51 points (+1.05%) while the Nasdaq closed UP +184.84 points (+1.71%)
Henry’omics:
Indexes and the RegMed, cell and gene therapy sector rose on Tuesday, recovering from the previous session’s steep sell-off. < Monday (9/21) closed negative with 1 advancer, 33 decliners and 1 flat>
Tuesday marked the first time in five days that the S&P 500 and Nasdaq posted a daily gain. The Dow also snapped a three-day losing streak.
This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: it ain’t over until the oversold sing … https://www.regmedinvestors.com/articles/11555
Pre-open indications: 5 HITS <Biostage (BSTG -$0.23), bluebird bio (BLUE +$1.08), Brainstorm Cell Therapeutics (BCLI +$0.09), Mesoblast (MESO +$0.77); SELL into strength - CRISPR Therapeutics (CRSP +$3.68)> and 0 MISS
RegMed/Cell and Gene therapy 35 covered equities’ Advance/Decline (A/D) lines: progressions and regressions …
- Tuesday opened negative at 5/28 and 2 flats, stayed negative at the mid-day at 13/19 and 3 flats, closing positive at 20/13 and 2 flats;
- Monday opened negative at 1/32 and 2 flats, stayed negative at the mid-day at 1/33 and 1 flat, closing negative at 1/33 and 1 flat;
- Friday opened positive at 22/11 and 2 flats, stayed positive at the mid-day at 18/16 and 1 flat, closing positive at 29/5 and 1 flat;
Key metrics:
- Sector volume was NEGLITABLE with 2 of the 20-upside having higher than the 3-month average volume and PRONOUNCED with the 3 of 13-downside having higher than the 3-month average volume;
- Tuesday’s percentage (%) of the 20-upside was +0.07% (BCLI) to 5.25% (FIXX) while the 13-downside ranges from -0.31% (FATE) to -13.22% (BSTG);
Hammered in today’s market:
- Global Blood Therapeutics (GBT), Cellectis SA (CLLS), Biostage (BSTG), Applied Genetic Technologies (AGTC), Fate Therapeutics (FATE) to name 5 of the 13 declining of the 35 covered
Jumping with share pricing momentum:
- CRISPR Therapeutics (CRSP), Sage Therapeutics (SAGE), Alnylam Pharmaceuticals (ALNY), ReNeuron (RENE.L), Ultragenyx (RARE) to name 5 of the 20 inclining of the 35 covered
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Tuesday, the IBB closed up +0.76% and XBI closed up +0.62%
- Monday, the IBB closed down -2.56% and XBI closed down -3.55%
- Friday, the IBB closed up +0.51% and XBI closed up +1.10%
Tuesday’s (10 of 20) incliners:
- CRISPR Therapeutics (CRSP +$3.68);
- Alnylam Pharmaceuticals (ALNY +$2.722 after Monday’s -$1.34);
- Ultragenyx (RARE+$2.36 after Monday’s -$2.42);
- ReNeuron (RENE.L +$2.00);
- Sage Therapeutics (SAGE +$1.97 after Monday’s -$2.57);
- UniQure NV (QURE +$1.32 after Monday’s -$2.96);
- Regenxbio (RGNX +$1.14 after Monday’s -$2.19);
- Mesoblast (MESO +$0.77);
- Homology Medicine (FIXX +$0.59)
- BioLife Solutions (BLFS +$0.58);
Tuesday’s (13 of 13) decliners:
- Global Blood Therapeutics (GBT -$0.53);
- Cellectis SA (CLLS -$0.32 after Monday’s -$1.42);
- Biostage (BSTG -$0.23 after Monday’s +$0.19)
- Applied Genetic Technologies (AGTC -$0.21);
- Athersys (ATHX -$0.10);
- Bellicum Pharmaceuticals (BLCM -$0.09);
- Pluristem (PSTI -$0.09);
- Solid Bioscience (SLDB -$0.07);
- MiMedx (OTC Pink sheets: MDXG -$0.07);
- Precigen (PGEN -$0.05);
- Caladrius Bioscience (CLBS -$0.01);
- Verastem (VSTM -$0.01);
- Aduro Biotech (ADRO -$0.005);
Closing flat: 1 – Stemline Therapeutics (STML – acquired)
Percentage (%) movement/range statistics: 360 degrees comparisons
- Tuesday’s percentage (%) of the 20-upside was +0.07% (BCLI) to 5.25% (FIXX) while the 13-downside ranges from -0.31% (FATE) to -13.22% (BSTG);
- Monday’s percentage (%) of the 1-upside was +12.26% (BSTG) while the33-downside ranges from -0.86% (VYGR) to -10.64% (PGEN);
- Friday’s percentage (%) of the 29-upside were +0.02% (QURE) to +12.17% (BLCM) while the 5-downside ranges from -0.94% (MESO) to -5.06% (SLDB);
Sentiment and a few daily indicators:
Coronavirus concerns have resurfaced, worrying investors that a reversal in reopening progress could be near …
Colder temperatures are setting in around the world, and nations are bracing for a spike in coronavirus transmission. With fewer outdoor activities available, and a simultaneous seasonal flu season, health experts warn infection rates are likely to tick up.
Infections rates:
- Tuesday 6.86 cases
- Monday 6.81 M cases
- Friday’s 6.67 cases
Tuesday’s day’s death rate totaled 200,005 after Monday’s 199,513, Friday’s 197,655, Thursday’s 196,831, Wednesday’s 196,023 and last Tuesday’s 194,547 <Johns Hopkins University>
Stats:
Upside volume:
- Tuesday: 2 out of the 20-upside had higher than the 3-month average volume;
- Monday: 0 out of the 1-upside had higher than the 3-month average volume;
- Friday: 19 out of the 29-upside had higher than the 3-month average volume;
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Tuesday was down -0.92 points or -3.31% at 26.86
- Monday was up +1.87 points or +7.24% at 27.71
- Friday was down -0.63 points or -2.38% at 25.83
Downside volume:
- Tuesday: 3 out of the 13-downside had higher than the 3-month average volume;
- Monday: 1 out of the33-downside had higher than the 3-month average volume;
- Friday: 3 out of the 5-downside had higher than the 3-month average volume;
September, the third month of Q3 …
Tuesday closed positive with 20 advancers, 13 decliners and 1 flat
Monday (9/21) closed negative with 1 advancer, 33 decliners and 1 flat
Friday closed positive with 29 advancers, 5 decliners and 1 flat
Thursday closed negative with 13 advancers, 20 decliners and 2 flats
Wednesday closed positive with 23 advancers, 10 decliners and 2 flats
Tuesday closed positive with 22 advancers, 12 decliners and 1 flat
Monday (9/14) closed positive with 31 advancers, 3 decliners and 1 flat
Friday closed negative with 16 advancers, 17 decliners and 2 flats
Thursday closed negative with 12 advancers, 20 decliners and 3 flats
Wednesday closed positive with 27 advancers, 5 decliners and 3 flats
Tuesday (9/10) closed negative with 14 advancers, 19 decliners and 2 flats
Monday was a holiday
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: The oversold sang even with September being a tough month.
The S&P 500 down more than -5% month to date and the Nasdaq dropping -6.9% in the same time, while the Dow has lost -4% in September.
The bounce back is signal of trading and algorithmic sentiment; my concern is still economic factors as hopefully companies return to opening their doors to employees who just want to be safe!
Better words from a pro, ““Coronavirus concerns have resurfaced, worrying investors that a reversal in reopening progress could be near,” Lindsey Bell, chief investment strategist for Ally Invest, said in a note. “More and more uncertainty is arising as we get closer to the election but no closer to Congressional fiscal relief. But we’re still optimistic this dip will be bought sooner rather than later.” <CNBC>
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.
