September 25, 2020 8:01am

Sentiment is AWOL and aftermarket indications are more than sparce

Pre-open indications: 3 BUYs and 1 SELL

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Dow futures are DOWN -0.65% (-173 points), S&P futures are DOWN -0.53% (-18 points) and NASDAQ futures are DOWN -0.24% (-26 points)

 

Pre-market stock futures are lower for a possibly BAD Friday as the market indexes try to avoid a downer week ending;

European stocks pulled back as investors continue to monitor coronavirus developments and the prospects of economic recovery as the pan-European Stoxx 600 fell 0.9% by late morning;

Asia Pacific markets were mixed as China Evergrande Group shares in Hong Kong plunged, while shares of Australia’s “Big Four” banks soared after authorities announced changes to simplify credit access for consumers and small businesses and the MSCI Asia ex-Japan index moved +0.48% higher.

 

Henry’omics:

The drop in futures on Friday comes after the three major U.S. indexes held on to slight gains during a choppy session Thursday but were still negative for the week.

A possible build to market forces but … “House Democrats are preparing a $2.4 trillion relief package that they could vote on as soon as next week. The package would include airline aid and enhanced unemployment benefits, but the price tag far exceeds that Republicans have said they would pay. <CNBC>

 

Thursday night’s post: RegMed Investors’ (RMi) closing bell: sector gets snookered again with no support and increasing resistance”

  • The Nasdaq closed UP +39.28 points (+0.37%);
  • The IBB closed down -1.05% and XBI closed down -0.99%;
  • Sector volume was extremely LOW with 0 of the 4-upside having higher than the 3-month average volume with the 6 of 29-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was down -0.07 points or -0.24% at 28.51;
  • Thursday’s percentage (%) of the 4-upside were +0.26% (VYGR) to +4.71% (ATHX) while the 29-downside ranges from -0.50% (BLUE) to -12.72% (BSTG); 

Q3 so far:

  • September, 6 positive closes, 11 negative closes and 1 holiday
  • August, 10 positive closes and 11 negative closes
  • July - 11 positive and 11 negative closes with 1 holiday

 

Companies in my headlights – It’s your decision; I provide an idea and context:

Maintaining Sell:

Biostage (BSTG) closed down -$0.22 to $1.51 after Wednesday’s +$0.22 to $1.73, Tuesday’s -$0.23 to $1.51 and Monday’s +$0.19 to $1.74, Question#1: WHAT substantiates “going concern” doings with NO R&D personnel for upgrades in product development and quality, Question#2: WHERE is business development making in-roads to alliances or partnerships, Question#3: WHO is investing and WHERE is the monies going? Question#4: WHO is making and drinking the coffee at the company – a part-time IT consultant?

Maintaining BUY:

Editas Medicine (EDIT) closed down -$2.37 to $29.08 after Wednesday’s -$1.31, Tuesday’s $32.76, Monday’s $32.34 and last Friday’s $33.90 with a positive +$0.57 or +1.96% aftermarket indication;

Homology Medicine (FIXX) closed up +$0.06 to $10.80 after Wednesday’s -$0.51 to $10.74, Tuesday’s $11.25, Monday’s $10.66 and last Friday’s $11.52 with a positive +$0.20 or +1.85% aftermarket indication;

uniQure NV (QURE) closed down -$0.81 or -2.13% to $37.16 but, it has news of its independent Data Safety Monitoring Board (DSMB) overseeing the P1/2 clinical trial of AMT-130 for the treatment of Huntington’s disease has met and reviewed 90-day safety data from the first two patients enrolled in the trial. No significant safety concerns were noted to prevent further dosing, and the next two patients are now cleared for enrollment in the study. The P1/2 study is a double-blind, randomized clinical trial being conducted in the United States. One patient has been treated with AMT-130, and one patient received the imitation surgery.

 

The BOTTOM LINE: RegMed, cell and gene therapy sector continued their September droop on Thursday, Wednesday after Monday’s decline - with not all that much activity “suspected” today.

Reiterating, what’s bothering me the most is September’s 6 positive closes, 11 negative closes and 1 holiday track so far, versus August’s 10 positive closes and 11 negative closes.

 I hate to say it, but I’m telling sector investors that we may have already seen the highs for this month.

 

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.