October 27, 2020 6:28pm
Only the Nasdaq exhibited resilience as markets brace for election result
Pre-open indication results: 3 HITs and 1 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 DOWN -22.19 points (-0.80%), the S&P closed DOWN -10.29 points (-0.30%) while the Nasdaq closed UP +72.41 points (+0.64%)
Henry’omics:
The Dow and S&P 500 fell as the Nasdaq stayed up on Tuesday as concerns about the rising number of coronavirus cases injured investor sentiment once again.
- Daily U.S. coronavirus cases have risen by an average of 69,967 over the past week, a record. The average number of Covid-19 hospitalizations has also risen by at least 5% in 36 states over the past seven days. < Johns Hopkins University>
Pre-open indication: 3 HITs <Biostage (BSTG -$0.00), Pluristem (PSTI +$0.23); SELL into Strength – CRISPR Therapeutics (CRSP +$3.99)> and 1 MISS <uniQure NV (QURE -$1.27)>
This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: after a major decline, there is usually an upside … https://www.regmedinvestors.com/articles/11606
RegMed/Cell and Gene therapy 35 covered equities’ Advance/Decline (A/D) lines: progressions and regressions …
- Tuesday opened positive at 19/13 and 3 flats, stayed positive at the mid-day at 21/12 and 2 flats, closing positive at 19/13 and 3 flats;
- Monday opened negative at 13/19 and 3 flats, stayed negative at the mid-day at 5/28 and 2 flats, closing negative at 9/24 and 2 flats;
- Friday opened positive at 20/14 and 1 flat, slipped negative at the mid-day at 15/18 and 2 flats, closing positive at 24/10 and 1 flat;
Key metrics:
- Sector volume was the usual LOW with 3 of the 19-upside having higher than the 3-month average volume with the increased volume of 3 of 13-downside having higher than the 3-month average volume;
- Tuesday’s percentage (%) of the 19-upside were +0.09% (GBT) to +6.78% (RARE) while the 13-downside of -0.05% (VCEL) to -4.14% (ATHX);
Hammered in today’s market:
- Alnylam Pharmaceuticals (ALNY), uniQure NV (QURE), Chinook Therapeutics (KDNY), AxoGen (AXGN), Bellicum Pharmaceuticals (BLCM) to name 5 of the 13 declining of the 35 covered
Jumping with share pricing momentum:
- Ultragenyx (RARE), CRISPR Therapeutics (CRSP), Sage Therapeutics (SAGE), ReNeuron (RENE.L), BioLife Solutions (BLFS) to name 5 of the 19 inclining of the 35 covered
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Tuesday, the IBB closed up +0.56% and XBI closed up +1.19%
- Monday, the IBB closed down -1.01% and XBI closed down -1.34%
- Friday, the IBB closed up +0.25% and XBI closed up +0.50%
Tuesday’s (10 of 19) incliners:
- Ultragenyx (RARE +$6.19 after Monday’s -$1.98 and Friday’s +$1.16);
- CRISPR Therapeutics (CRSP +$3.99 after Monday’s +$1.40 and Friday’s +$2.49);
- ReNeuron (RENE.L +$2.50);
- Sage Therapeutics (SAGE +$2.30 after Monday’s -$3.00 and Friday’s +$0.69);
- BioLife Solutions (BLFS +$1.53);
- Intellia Therapeutics (NTLA +$0.94);
- Regenxbio (RGNX +$0.70 after Monday’s +$0.15);
- Fate Therapeutics (FATE +$0.56 after Monday’s -$1.58 and Friday’s +$0.65);
- Editas Medicine (EDIT +0.38 after Monday’s -$0.66 and Friday’s +$0.50);
- Brainstorm Cell Therapeutics (BCLI +$0.35 after Monday’s -$0.54 and Friday’s +$0.56);
Tuesday’s (10 of 13) decliner:
- Alnylam Pharmaceuticals (ALNY -$1.85 after Monday’s -$3.12 and Friday’s -$2.46);
- uniQure NV (QURE -$1.27 after Monday’s +$0.61 after Friday’s +$1.37);
- Chinook Therapeutics (KDNY -$0.45);
- AxoGen (AXGN -$0.26 after Monday’s -$0.77);
- Bellicum Pharmaceuticals (BLCM -$0.14 after Monday’s +$0.05);
- Mesoblast (MESO -$0.11);
- Athersys (ATHX -$0.07 after Monday’s +$0.08 after Friday’s -$0.05);
- MiMedx (OTC Pink sheets: MDXG -$0.07 after Monday’s +$0.07 atter Friday’s -$0.52);
- Solid Biosciences (SLDB -$0.05);
- Ionis Pharmaceuticals IONS -$0.03);
Closing flat - 3 – Biostage (BSTG), Sangamo therapeutics (SGMO) and Stemline Therapeutics (STML – acquired)
Percentage (%) movement/range statistics: a 360 degrees comparison of % and pricing
- Tuesday’s percentage (%) of the 19-upside were +0.09% (GBT) to +6.78% (RARE) while the 13-downside of -0.05% (VCEL) to -4.14% (ATHX);
- Monday’s percentage (%) of the 9-upside were +0.28% (GBT) to +4.97% (ATHX) while the 24-downside of -0.14% (VYGR) to -9.62% (SLDB);
- Friday’s percentage (%) of the 24-upside were +0.04% (BLUE) to +10.64% (SLDB) while the 10-downside ranges from -0.18% (FIXX) to -8.15% (MDXG);
Sentiment and a few daily indicators:
Investor sentiment sagged after the White House said a deal on COVID-19 relief could come in "weeks," meaning a deal is unlikely before the Nov. 3 election.
Infection cases <Million>:
- Tuesday 8.75 M cases
- Monday 8.66 M cases
- Friday 8.41 M cases
Tuesday’s death rate totaled 226,436 after Monday’s 225,434, Friday’s 223,059, Thursday’s 222,416, Wednesday’s 221,122 and last Tuesday’s 220,338 <Johns Hopkins University>
Stats:
Upside volume:
- Tuesday: 3 out of the 19-upside had higher than the 3-month average volume;
- Monday: 2 out of the 9-upside had higher than the 3-month average volume;
- Friday: 7 out of the 24-upside had higher than the 3-month average volume;
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Tuesday was up +0.89 points or +2.74% at 33.45
- Monday was up +4.91 points or +17.82% at 32.46
- Friday was down -0.56 points or -`1.99% at 27.55
Downside volume:
- Tuesday: 3 out of the 13-downside had higher than the 3-month average volume;
- Monday: 3 out of the 24-downside had higher than the 3-month average volume;
- Friday: 2 out of the 10-downside had higher than the 3-month average volume;
October, the first month <October> of Q4 …
Tuesday closed positive with 19 advancers, 13 decliners and 3 flats
Monday (10/26) closed negative with 9 advancers, 24 decliners and 2 flats
Friday closed positive with 24 advancers, 10 decliners and 1 flat
Thursday closed positive with 26 advancers, 7 decliners and 2 flats
Wednesday closed negative with 5 advancers, 27 decliners and 3 flats
Tuesday closed negative with 14 advancers, 19 decliners and 2 flats
Monday (10/19) closed negative with 8 advancers, 25 decliners and 2 flats
Friday closed positive with 20 advancers, 12 decliners and 3 flats
Thursday closed positive with 17 advancers, 15 decliners and 3 flats
Wednesday closed negative with 11 advancers, 22 decliners and 2 flats
Tuesday closed positive with 20 advancers, 12 decliners and 3 flats
Monday (10/12) closed neutral with 16 advancers, 16 decliners and 3 flats
Friday closed positive with 21 advancers, 9 decliners and 5 flats
Thursday closed positive with 18 advancers, 14 decliners and 3 flats
Wednesday closed positive with 26 advancers, 9 decliners and 2 flats
Tuesday closed negative with 11 advancers, 23 decliners and 1 flat
Monday (10/5) closed positive with 33 advancers, 1 declined and 1 flat
Friday closed negative with 8 advancers, 26 decliners and 1 flat
Thursday (10/1) closed negative with 21 advancers, 12 decliners and 2 flats
The Bottom Line: It’s being alleged that the biggest risk appears to be … the threat of a contested election?
Are hedge funds taking some chips off the table or increasing their hedging positions in advance of what could be a tenuous period for risk assets?
This week’s market movements are NOT a signal of strength, sentiment and breath!
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.
