December 7, 2020 5:26pm

Risk and profit-taking as ASH presentations upped the ante of share pricing

Pre-open indication results: 7 HITs and 2 MISS

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The Dow closed DOWN – 148.47 points (-0.49%); the S&P closed DOWN -7.16 points (-0.19%) while the Nasdaq closed UP +55.71 points (+0.45%)

 

Henry’omics:

Dow and S&P fell as worries about rising coronavirus cases, increasing American city lockdown and restrictions, vaccine timetables and the ever-negotiating additional fiscal aid – not stimulus any more … weakened indexes.

The Nasdaq hit a fresh record high and a stayed a target.

 

Worth reading article:

Here Are the Winners of this Year's Biggest Blood Cancer Meeting by Allison Gatlin …  Investor’s Business Daily … https://www.investors.com/news/technology/biotech-stocks-fate-constellation-surge-cancer-treatment-test-results/?src=A00220

Why Editas Medicine Stock Is Soaring Today by Keith Speights … The Motley Fool … https://www.fool.com/investing/2020/12/07/why-editas-medicine-stock-is-soaring-today/?source=eptyholnk0000202&utm_source=yahoo-host&utm_medium=feed&utm_campaign=article

Why Fate Therapeutics Stock Is Skyrocketing Today by Keith Speights … The Motley Fool … https://www.fool.com/investing/2020/12/07/why-fate-therapeutics-stock-is-skyrocketing-today

 

Pre-open indication: x HITs <SELL: Biostage (BSTG -$0.07 to $1.435 with 5,098 shares traded); Sell into strength: BioLife Solutions (BLFS +$0.99), Fate Therapeutics (FATE +$22.98), Cellectis SA (CLLS +$0.75), CRISP Therapeutics (CRSP +$2.18), Editas Medicine (EDIT +$4.56), Sage Therapeutics (SAGE +$0.27)> and 2 MISS <Applied Genetic Technologies (AGTC -$0.14); Global Blood Therapeutics (GBT -$2.50)>

 

This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: beware of promises of stimulus and vaccine timetables at the moment, consider ASH presentations and any sector highs and bottoms … https://www.regmedinvestors.com/articles/11665

 

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

  • Monday opened positive at 25/9 and 1 flat, strayed negative at the mid-day at 13/20 and 2 flats, closing negative at 14/20 and 1 flat;
  • Friday opened positive at 23/8 and 4 flats, stayed positive at the mid-day at 21/10 and 3 flats, closing positive at 25/9 and 2 flats;

 

Key metrics:

  • Sector volume was LOW with 9 of the 14-upside having higher than the 3-month average volume with the increased volume of 9 of 20-downside having higher than the 3-month average volume;
  • Monday’s percentage (%) of the 14-upside were +0.38% (SAGE) to +37.80% (FATE) while the 20-downside of -0.07% (RENE.L) to -9.71% (BLCM);

 

Hammered in today’s market:

  • Global Blood Therapeutics (GBT), Alnylam Pharmaceuticals (ALNY), uniQure NV (QURE), bluebird bio (BLUE), Ionis Pharmaceuticals (IONS) to name 5 of the 20 declining of the 35 covered

Jumping with share pricing momentum:  

  • Fate Therapeutics (FATE), Editas Medicine (EDIT), Intellia Therapeutics (NTLA), CRSP Therapeutics (CRSP), BioLife Solutions (BLFS) to name 5 of the 14 inclining of the 35 covered

 

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

  • Monday, the IBB closed up +0.01% and XBI closed up +0.93%
  • Friday, the IBB closed up +0.93% and XBI closed up +1.85%

 

Monday’s (14 of 14) incliners:

  • Fate Therapeutics (FATE +$22.98 after Friday’s +$0.37);
  • Editas Medicine (EDIT +$4.56 after Friday’s +$11.26
  • Intellia Therapeutics (NTLA +$3.15 after Friday’s +$0.52);
  • CRISPR Therapeutics (CRSP +$2.18 after Friday’s +$7.08);
  • Ultragenyx (RARE +$1.40 after Friday’s +$4.39);
  • BioLife Solutions (BLFS +$0.99 after Friday’s +$2.35);
  • AxoGen (AXGN +$0.80 after Friday’s +$0.72);
  • Cellectis SA (CLLS +$0.75);
  • Pluristem (PSTI +$0.57);
  • Mesoblast (MESO +$0.44);
  • Vericel (VCEL +$0.37 after Friday’s +$0.56);
  • Sage Therapeutics (SAGE +$0.27 after Friday’s +$1.89);
  • Voyager Therapeutics (VYGR +$0.07);
  • Verastem (VSTM +$0.07 after Friday’s -$0.08);

Monday’s (10 of 20) decliner:

  • uniQure NV (QURE -$2.83 after Friday’s -$0.40);
  • Alnylam Pharmaceuticals (ALNY -$2.75 after Friday’s -$1.61);
  • Global Blood Therapeutics (GBT -$2.50 after Friday’s -$0.05);
  • bluebird bio (BLUE -$1.52 after Friday’s -$0.06);
  • Regenxbio (RGNX -$1.36 after Friday’s -$0.04);
  • Chinook Therapeutics (KDNY -$1.11 after Friday’s +$1.04);
  • Ionis Pharmaceuticals (IONS -$0.91);
  • Sangamo Therapeutics (SGMO -$0.71);
  • Precigen (PGEN -$0.38 after Friday’s -$0.01);
  • Adverum Biotechnologies (ADVM -$0.31 after Friday’s -$0.55);

Closing – 1 – Stemline Therapeutics (STML – acquired)

 

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

  • Monday’s percentage (%) of the 14-upside were +0.38% (SAGE) to +37.80% (FATE) while the 20-downside of -0.07% (RENE.L) to -9.71% (BLCM);
  • Friday’s percentage (%) of the 24-upside were +0.09% (BLUE) to +7.48% (KDNY) while the 8-downside ranges from -0.14% (GBT) to -4.90% (MDXG);

 

Sentiment and a few daily indicators:

The rising caseload of virus infections and escalating hospitalizations has led to increased calls for additional fiscal stimulus with NO agreement seemingly contemplated.

However, lawmakers are struggling with American’s lives to push through new legislation before year-end – good government at work and we elected many of these fools from both personal power … parties.

Infection cases <Million>:

  • Monday 14.79 M cases
  • Friday 14.24 M cases

Monday’s death rate totaled 282,522 after Friday’s 227,639, Thursday’s 273,920, Wednesday’s 271,064, Tuesday’s 268,129 and last Monday’s 266,887 <Johns Hopkins University>

 

Stats:

Upside volume: 

  • Monday: 9 out of the 14-upside had higher than the 3-month average volume;
  • Friday: 9 out of the 25-upside had higher than the 3-month average volume;

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Monday was up +0.51 points or +2.45% at 21.30
  • Friday was down -0.49 points or -2.30% at 20.79

Downside volume:

  • Monday: 9 out of the 20-downside had higher than the 3-month average volume;
  • Friday: 3 out of the 9-downside had higher than the 3-month average volume;

 

December, the 3rd month of Q4 …

Monday (12/7) closed negative with 14 advancers, 20 decliners and 1 flat 

Friday closed positive with 25 advancers, 9 decliners and 2 flats 

Thursday closed neutral with 16 advancers, 16 decliners and 3 flats  

Wednesday closed positive with 20 advancers, 14 decliners and 1 flat 

Tuesday (12/1) closed positive with 20 advancers, 15 decliners and 1 flat 

 

The Bottom Line: As I stated this morning – BEWARE; the sector has been on more than a bit of a tear thus risk of a pullback became a reality.

Fiscal aid, not a stimulus act (now a misnomer) is needed but, first a government budget is required and even that can NOT be agreed upon.

Virus infections are dramatically increasing without ANY unified plan other than to re-impose stricter social distancing measures to curb the outbreak. Testing is where monies SHOULD have gone …!

Yet, we are reinvigorating … UNCERTAINTY!

 

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.