October 29, 2020 5:52pm

Never assume, it makes a buyer out of some and makes me a seller

Pre-open indication results: 3 HITs and 1 Miss

An “intelligence newspaper” for smart investing in the RegMed, gene and cell therapy sector.  I track the numbers, so there’s no question re my opinion; so, you can do what others can't.

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The Dow closed UP +139.22 points (+0.52%), the S&P closed UP +39.08 points (+1.19%) while the Nasdaq closed UP +180.73 points (+1.64%)

 

Henry’omics:

Indexes bounced back from Wednesday’s traumatic and sell-off session as …

Sentiment got a boost from GDP numbers and first-time unemployment-benefits filers declined for a second straight week and hit its lowest level since March. Initial weekly U.S. jobless claims came in at 751,000 for the week ending Oct. 24, better than a Dow Jones estimate of 778,000. <CNBC>

 

Pre-open indication: 3 HITs <Biostage (BSTG -$0.00), bluebird bio (+$0.40), CRISPR Therapeutics (CRSP +$1.64> and 1 MISS < Alnylam Pharmaceuticals (ALNY -$1.56)>

 

This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: what’s new, a low crawl after a series of up downs … https://www.regmedinvestors.com/articles/11610

 

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

  • Thursday opened negative at 15/19 and 1 flat, strayed positive at the mid-day at 22/12 and 1 flat, closing positive at 21/10 and 4 flats;
  • Wednesday opened negative at 1/32 and 2 flats, stayed negative at the mid-day at 3/31 and 1 flat, closing negative at 3/30 and 2 flats;
  • 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;

 

Key metrics:

  • Sector volume was the usual LOW with 3 of the 21-upside having higher than the 3-month average volume with the increased volume of 5 of 10-downside having higher than the 3-month average volume;
  • Thursday’s percentage (%) of the 21-upside were +0.07% (PSTI) to +9.82% (ATHX) while the 10-downside ranges from -0.66% (CLBS) to -8.25% (KDNY);

 

Hammered in today’s market:

  • Chinook Therapeutics (KDNY), Vericel (VCEL), Alnylam pharmaceuticals (ALNY), Bellicum Pharmaceuticals (BLCM), Global Blood Therapeutics (GBT) to name 5 of the 10 declining of the 35 covered

Jumping with share pricing momentum:

  • CRISPR Therapeutics (CRSP), Sage Therapeutics (SAGE), BioLife Solutions (BLFS), uniQure NV (QURE), Editas Medicine (EDIT) to name 5 of the 21 inclining of the 35 covered

 

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

  • Thursday, the IBB closed up +0.53% and XBI closed up +0.88%
  • Wednesday, the IBB closed down -2.58% and XBI closed down -2.75%
  • 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%

 

Thursday’s (10 of 21) incliners:

  • Sage Therapeutics (SAGE +$2.06 after Wednesday’s +1.05, Tuesday’s +$2.30 and Monday’s -$3.00);
  • CRISPR Therapeutics (CRSP +$1.64 after Wednesday’s -$3.41, Tuesday’s +$3.99 and Monday’s +$1.40);
  • BioLife Solutions (BLFS +$1.64 after Wednesday’s -$1.24 and Tuesday’s +$1.53);
  • uniQure NV (QURE +$1.40 after Wednesday’s -$3.33, Tuesday’s -$1.27 and Monday’s +$0.61);
  • Editas Medicine (EDIT +$1.19);
  • Ionis Pharmaceuticals (IONS +$1.03);
  • Regenxbio (RGNX +$0.86 after Wednesday’s -$1.29, Tuesday’s +$0.70 and Monday’s +$0.15);
  • Brainstorm cell Therapeutics (BCLI +$0.67);
  • Fate Therapeutics (FATE +$0.60 after Wednesday’s -$2.43, Tuesday’s +$0.56 and Monday’s -$1.58);
  • Intellia Therapeutics (NTLA +$0.55);

Thursday’s (10 of 10) decliner:

  • Alnylam Pharmaceuticals (ALNY -$1.56 after Wednesday’s -$1.94, Tuesday’s -$1.85 and Monday’s -$3.12);
  • Chinook Therapeutics (KDNY -$1.07 after Wednesday’s -$1.48 and Tuesday’s -$0.45);
  • Vericel (VCEL -$0.71);
  • Global Blood Therapeutics (GBT -$0.58 after Wednesday’s -$2.65);
  • Bellicum Pharmaceuticals (BLCM -$0.50 after Wednesday’s +$0.17, Tuesday’s -$0.14 and Monday’s +$0.05);
  • Cellectis SA (CLLS -$0.31);
  • Adverum Biotechnologies (ADVM -$0.29);
  • Sangamo Therapeutics (SGMO -$0.22);
  • MiMedx (OTC Pink sheets: MDXG -$0.05);
  • Caladrius biosciences (CLBS -$0.01);

Closing flat - 3 – Biostage (BSTG), ReNeuron (RENE.L), Ultragenyx (RARE) and 1 -Stemline Therapeutics (STML – acquired)

 

Percentage (%) movement/range statistics: a 360 degrees comparison of % and pricing

  • Thursday’s percentage (%) of the 21-upside were +0.07% (PSTI) to +9.82% (ATHX) while the 10-downside ranges from -0.66% (CLBS) to -8.25% (KDNY);
  • Wednesday’s percentage (%) of the 3-upside were +0.62% (ATHX) to +2.73% (BLCM) while the 30-downside ranges from -0.29% (SLDB) to -10.24% (KDNY);
  • 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);

 

Sentiment and a few daily indicators:

Sentiment also got a lift from better-than-expected economic data. U.S. gross domestic product for Q3 expanded at a 33.1% annualized pace, its fastest growth ever. The reading came after a 31.4% plunge in the second quarter and was better than the 32% estimate from economists.

Infection cases <Million>:

  • Thursday 8.86 cases
  • Wednesday 8.78 M cases
  • Tuesday 8.75 M cases
  • Monday 8.66 M cases

Thursday’s death rate totaled 227,706 after Wednesday’s 226,777, Tuesday’s 226,436, Monday’s 225,434, Friday’s 223,059 and last Thursday’s 222,416 <Johns Hopkins University>

 

Stats:

Upside volume: 

  • Thursday: 3 out of the 21-upside had higher than the 3-month average volume;
  • Wednesday: 0 out of the 3-upside had higher than the 3-month average 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;

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Thursday was down -2.69 points or -6.68% at 37.59
  • Wednesday was up +8.93 points or +20.78% at 40.28
  • Tuesday was up +0.89 points or +2.74% at 33.45
  • Monday was up +4.91 points or +17.82% at 32.46

Downside volume:

  • Thursday: 5 out of the 10-downside had higher than the 3-month average volume;
  • Wednesday: 6 out of the 30-downside had higher than the 3-month average 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;

 

October, the first month <October> of Q4 …

Thursday closed positive with 21 advancers, 10 decliners and 4 flats

Wednesday closed negative with 3 advancers, 30 decliners and 2 flats 

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: Reiterating, bubble, bubble; the market and sector are getting chewed!

The GDP numbers, declining unemployment, algorithms and electronic trading saved the session after Wednesday’s rout!

Unfortunately, the recent uptick in COVID cases has led many states to institute various levels of shout-downs or lock-ups.

Maintaining thought: this week’s market movements are NOT a signal of strength, sentiment or 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.