October 19, 2020 8:16am

As volatility is heightened by sentiment as COVID-19 cases rise and hopes for a pre-election stimulus deal

Pre-open indications: 3 BUYs and 3 SELLs

News: Intellia Therapeutics (NTLA) announced the authorization of its Clinical Trial Application (CTA) by the United Kingdom Medicines and Healthcare products Regulatory Agency (MHRA) to initiate its Phase 1 study, which will evaluate NTLA-2001 for the treatment of hereditary transthyretin amyloidosis with polyneuropathy (hATTR-PN).

What I provide is an “intelligence daily” to ensure that shareholders are kept apprised based on a 24-hour surveillance of “our” universe, the RegMed/cell and gene therapy sector and its surrounding markets

Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors!  My gift to you, I've kept RMi subscription FREE during these COVID-19 and volatile times

 

Dow futures are UP +0.69% (+195 points), S&P futures are UP +0.82% (+29 points) and NASDAQ futures are UP +1.02% (+121 points)

 

U.S. stock futures advanced early Monday on hope for a stimulus deal from Washington;

  • Stocks are coming off a week of choppy trading action while global coronavirus cases hit 40 million on Monday, which put a damper on bullish sentiment.

European stocks advanced on U.S. optimism rising on COVID-19 “talks” as the pan-European Stoxx 600 climbed 0.5% by late morning;

Asia-Pacific stocks advanced with gains capped as investors reacted to the release of China’s GDP while MSCI’s broadest index of Asia-Pacific shares outside Japan gained +0.48%.

  • China’s Q3 GDP grew 4.9% as compared to a year ago, according to data released Monday by their National Bureau of Statistics

 

 

Henry’omics:

Stocks are coming off a week of choppy trading action while global coronavirus cases hit 40 million on Monday, which put a damper on bullish sentiment

 

Friday night’s post: RegMed Investors’ (RMi) closing bell: “a churning week – pockets of strength with an ending daily and solid sector showing”

  • The Nasdaq closed DOWN -42.31 points (-0.36%);
  • The IBB closed up +0.36% and XBI closed up +0.37%;
  • Sector volume was the usual LOW with 7 of the 20-upside having higher than the 3-month average volume with the increased volume of 3 of 15-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was up +0.44 points or +1.63% at 27.41;
  • Friday’s percentage (%) of the 20-upside were +0.24% (VYGR) to +9.95% (CRSP) while the 12-downside ranges from -0.18% (SGMO) to -9.35% (BCLI);

Q4’s October, so far: 1 neutral, 7 positive and 4 negative closes

Q3: July through September: 1 neutral, 28 positive and 34 negative closes with 2 holidays

 

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

Maintaining Sell:

Biostage (BSTG) closed flat at $1.50 with 45 shares traded after Thursday’s-$0.02 to $1.50 with 100 shares traded after Wednesday’s +$0.02 with 368 shares traded, Tuesday’s flat and last Monday’s -$0.01 to $1.50.  Question#1: As RMS, the accounting firm conducts their audit for Q3/2020, have they questioned Shunfu Hu, director of business development and operations regarding WHAT happened to a number of receivables that suddenly disappeared from accounting that were approved by chairman Jason Chen? Question#2” SHOULD the SEC be reviewing their accounting practices? Question#3: Should RMS be reviewed by regulators in reference to its “work” with BSTG WHICH is without any audit board members or designated financial officer?

Editas Medicine (EDIT) closed up +$1.41 to $33.66 after Thursday’s $32.25, Wednesday’s $32.16, Tuesday’s $32.77 and last Monday’s $32.22 and has a NEGATIVE -$0.01 or -0.13% aftermarket (Friday) indication

Fate Therapeutics (FATE) closed up +$0.54 to $48.64 after Thursday’s +$1.14 to $48.10, Wednesday’s $46.96, Tuesday’s $49.04 and last Monday’s $48.75 with NO aftermarket indication. However, a 52-week change of +234.76%, a short percentage (%) of float of -22.35% and a VERY “peaky” chart;

BUY:

Ionis Pharmaceuticals (IONS) closed down -$1.16 to $47.13, after Thursday’s $48.29, Wednesday’s $47.71, Tuesday’s $47.97 and last Monday’s $46.48 with a POSITIVE +$0.02 or +0.04% aftermarket (Friday) indication

Intellia Therapeutics (NTLA) closed up +$1.86 to $26.11 after Thursday’s $24.25, Wednesday’s $24.71, Tuesday’s $24.61 and last Monday’s $23.91 with news of the authorization of its Clinical Trial Application (CTA) by the United Kingdom Medicines and Healthcare products Regulatory Agency (MHRA) to initiate its Phase 1 study, which will evaluate NTLA-2001 for the treatment of hereditary transthyretin amyloidosis with polyneuropathy (hATTR-PN).

Maintaining BUY:

bluebird bio (BLUE) closed up +$0.82 to $56.10 after Thursday’s -$0.51 to $55.28 after Wednesday’s -$0.96 to $55.79, Tuesday’s -$1.64 to $56.75 and last Monday’s $58.39 with NO (Friday) aftermarket indication;

 

 

The BOTTOM LINE: Theme for the session and maybe the week: which way it can or will go, I’m out of words.

Hope and optimism is NOT in my vocabulary this day …

 

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.