December 16, 2020 5:11pm

The Fed commits to holding rates steady and continuing the bond buying

Pre-open indication results: 4 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.

Closing explanations on what you need to know for the next week!


The Dow closed DOWN -4.77 points (-0.15%); the S&P closed UP +6.55 points (+0.18%) while the Nasdaq closed UP +63.13 points (+0.50%)

 

Henry’omics:

Indexes Stocks rose slightly on Wednesday …

Amid the Fed’s latest pledge to support the economy and the “apparent” progress in U.S. fiscal stimulus negotiations.

Stimulus remains a key focus for the market; a necessary bridge to expansive vaccinations

 

All-time highs:

  • Ultragenyx Pharmaceuticals (RARE) all-time high at $160.86, Chinook therapeutics (KDNY) reached an all-time high of $19.20

Hammered in today’s market:

  • CRISPR Therapeutics (CRSP), Global Blood therapeutics (GBT), Ionis Pharmaceuticals (IONS), Adverum Biotechnologies (ADVM), Editas Medicine (EDIT) to name 5 of the 16 declining of the 35 covered

Jumping with share pricing momentum:

  • Sage Therapeutics (SAGE), Alnylam Pharmaceuticals (ALNY), Cellectis SA (CLLS), Chinook Therapeutics (KDNY), Ultragenyx (RARE) to name 5 of the 16 inclining of the 35 covered

 

Pre-open indication: 4 HITs <Maintaining SELL: Biostage (BSTG -$0.028)> BUY:  Mesoblast (MESO -$0.00), Cellectis SA (CLLS +$2.33), SELL:  Verastem (VSTM -$0.01)> and 1 MISS < BUY: Solid Biosciences (SLDB -$0.01)>

 

This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: sector bobs and weaves. A lot of hope and optimism are built in; however, they disappear in a nano-second on political news … https://www.regmedinvestors.com/articles/11681

 

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

  • Wednesday opened negative at 18/14 and 3 flats, strayed positive at the mid-day at 18/14 and 3 flats, closing neutral at 16/16 and 3 flats;
  • Tuesday opened negative at 15/17 and 3 flats, strayed positive at the mid-day at 19/15 and 1 flat, closing positive at 20/14 and 1 flat;
  • Monday opened positive at 29/5 and 1 flat, stayed positive at the mid-day at 28/5 and 2 flats, closing positive at 23/11 and 1 flat;

 

Key metrics:

Sector volume STAYED UP with 11 of the 16-upside having higher than the 3-month average volume with the increased volume of 7 of 16-downside having higher than the 3-month average volume;

Wednesday’s percentage (%) of the 16-upside were +0.20% (BLUE) to +19% (MDXG) while the 16-downside ranges from -0.17% (SLDB) to -8.12% (ADVM);

 

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

  • Wednesday, the IBB closed down -0.66% and XBI closed down -1.23%
  • Tuesday, the IBB closed up +0.19% and XBI closed up +0.18%
  • Monday, the IBB closed up +2.34% and XBI closed up +2.66%

 

Wednesday’s (10 of 16) incliners:

  • Sage Therapeutics (SAGE +$2.65 after Tuesday’s +$1.19 after Monday’s +$1.64);
  • Alnylam Pharmaceuticals (ALNY +$2.62 after Tuesday’s +$3.01 and Monday’s +$3.04);
  • Cellectis SA (CLLS+$2.33 after Tuesday’s -$5.35 and Monday’s +$1.70);
  • Chinook Therapeutics (KDNY +$2.19);
  • Ultragenyx (RARE +$1.98 after Tuesday’s +$4.56 and Monday’s +$8.28);
  • MiMedx (MDXG +$1.25);
  • Precigen (PGEN+$0.32 after Tuesday’s -$2.06);
  • Sangamo Therapeutics (SGMO +$0.31 after Tuesday’s -$0.10);
  • Homology Medicine (FIXX +$0.26 after Tuesday’s -$0.74 and Monday’s +$1.74);
  • AxoGen (AXGN +$0.26);

Wednesday’s (10 of 16) decliner:

  • CRISPR Therapeutics (CRSP -$3.36);
  • Global Blood Therapeutics (GBT -$2.26 after Tuesday’s +2.16 and Monday’s +$2.13);
  • Ionis Pharmaceuticals (IONS -$1.69 after Tuesday’s +$3.65 and Monday’s +$2.02
  • Adverum Biotechnologies (ADVM -$1.09 after Tuesday’s -$0.59);
  • Editas Medicine (EDIT -$0.94);
  • Fate Therapeutics (FATE -$0.70 after Tuesday’s -$3.61);
  • Vericel (VCEL -$0.41);
  • Intellia Therapeutics (NTLA -$0.26 after Tuesday’s +$1.53 and Monday’s -$1.16);
  • uniQure NV (QURE -$0.23 after Tuesday’s +$1.43 and Monday’s -$1.37);
  • Brainstorm Cell Therapeutics (BCLI -$0.17);

Closing 2–Mesoblast (MESO), ReNeuron (RENE.L) and 1 - Stemline Therapeutics (STML – acquired)

 

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

  • Wednesday’s percentage (%) of the 16-upside were +0.20% (BLUE) to +19% (MDXG) while the 16-downside ranges from -0.17% (SLDB) to -8.12% (ADVM);
  • Tuesday’s percentage (%) of the 20-upside were +0.06% (VYGR) to +23.38% (SLDB) while the 14-downside of -0.06% (CRSP) to -22.32% (PGEN);
  • Monday’s percentage (%) of the 23-upside were +0.60% (RGNX) to +23.12% (KDNY) while the 11-downside of -0.41% (MESO) to -14.62% (SLDB);

 

Sentiment and a few daily indicators:

Sentiment was kept in check by a steeper-than-expected drop in U.S. retail sales.

Infection cases <Million>:

  • Wednesday 16.73 M cases
  • Tuesday 16.52 M cases
  • Monday 16.25 M cases

Wednesday’s death rate totaled 304,094 after Tuesday’s 300,723, Monday’s 299,191, Friday’s 292,190, Thursday’s 289,451 and last Wednesday’s 287,550 <Johns Hopkins University>

 

Stats:

Upside volume:

  • Wednesday: 11 out of the 16-upside had higher than the 3-month average volume;
  • Tuesday: 12 out of the 20-upside had higher than the 3-month average volume;
  • Monday: 18 out of the 23-upside had higher than the 3-month average volume;

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Wednesday was down -0.39 points or -1.70% at 22.50
  • Tuesday was down -1.83 points or -7.40% at 22.89
  • Monday was up +1.41 points or +6.05% at 24.72

Downside volume:

  • Wednesday: 7 out of the 16-downside had higher than the 3-month average volume;
  • Tuesday: 12 out of the 14-downside had higher than the 3-month average volume;
  • Monday: 8 out of the 13-downside had higher than the 3-month average volume;

 

December, the 3rd month of Q4 …

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

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

Monday (12/14) closed positive with 23 advancers, 12 decliners and 1 flat

Friday closed negative with 13 advancers, 20 decliners and 2 flats

Thursday closed positive with 22 advancers, 9 decliners and 4 flats

Wednesday closed negative with 10 advancers, 22 decliners and 3 flats

Tuesday closed positive with 19 advancers, 14 decliners and 2 flats

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: Maintaining caution is STILL warranted; as optimism is “ruling’ markets. MY guidance is numbers-based and is tied to the sector’s progressions and depressions in relation to market moves.

 

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.