December 17, 2020 5:41pm

We are still in a bubble mask-based environment

Pre-open indication results: 5 HITs and 4 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 UP +148.83 points +0.49%); the S&P closed UP +21.31 points (+0.58%) while the Nasdaq closed UP +106.56 points 0.84%)

 

Henry’omics:

Indexes rose to record highs on Thursday, boosted by “expectation” of Washington coming through on additional fiscal aid before the end of 2020.

The issue downgrading or as some say upgrading markets reflects the need for fiscal aid while the resurgence in Covid-19 cases has led to states reimposing stricter social-distancing measures that are slowing down parts of the economy, especially the labor market.

 

From this a.m.’s Data Docket: jobless claims totaled 885,000 last week, hitting their highest level since early September. Economists expected 808,000 workers sought state jobless benefits during the week ended Dec. 12.

 

All-time highs:

  • Solid Biosciences (SLDB) reached an all-time high of +23.05% to $7.26, Ultragenyx Pharmaceuticals (RARE) all-time high at $165.90, Chinook therapeutics (KDNY) reached an all-time high of $20.02

Hammered in today’s market:

  • Editas Medicine (EDIT), Cellectis SA (CLLS), Fate Therapeutics (FATE), Vericel (VCEL), Voyager therapeutics (VYGR) to name 5 of the 5 declining of the 35 covered

Jumping with share pricing momentum:

  • Ultragenyx (RARE), ReNeuron (RENE.L), CRISPER Therapeutics (CRSP), BioLife Solutions BLFS), Chinook Therapeutics (KDNY), to name 5 of the 28 inclining of the 35 covered

 

Pre-open indication: 5 HITs < BUY: CRISPR Therapeutics (CRSP +$2.61), Global Blood Therapeutics (GBT +$0.96), Ionis Pharmaceuticals (IONS +$1.40), uniQure NV (QURE +$0.55): SELL: Editas Medicine (EDIT -$1.28)> and 4 MISS <Sell into Strength: Alnylam Pharmaceuticals (ALNY +$0.56), Chinook Therapeutics (KDNY +$1.80), Precigen (PGEN +$0.70); Maintaining SELL: Biostage (BSTG +$0.08 with 3,593) - pumped>

 

This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: snow is falling, as fiscal aid also inches?  The sector closed neutral as markets finished off a mixed session … https://www.regmedinvestors.com/articles/11683

 

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

  • Thursday opened positive at 18/15 and 2 flats, stayed positive at the mid-day at 22/10 and 3 flats, closing positive at 28/5 and 2 flats;
  • 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 13 of the 28-upside having higher than the 3-month average volume with the increased volume of 3 of 5-downside having higher than the 3-month average volume;
  • Thursday’s percentage (%) of the 28-upside were +0.20% (FATE) to +24.07% (SLDB) while the 5-downside ranges from -0.23% (VYGR) to -3.16% (CLLS);

 

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

  • Thursday, the IBB closed up +1.43% and XBI closed up +1.47%
  • 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%

 

Thursday’s (10 of 28) incliners:

  • Ultragenyx (RARE +$3.70 after Wednesday’s +$1.98, Tuesday’s +$4.56 and Monday’s +$8.28);
  • CRISPR Therapeutics (CRSP +$2.52 after Wednesday’s -$3.36);
  • ReNeuron (RENE.L +$2.50);
  • Sage Therapeutics (SAGE +$2.11 after Wednesday’s +$2.65, Tuesday’s +$1.19 and Monday’s +$1.64);
  • Chinook Therapeutics (KDNY +$1.71 after Wednesday’s +$2.19);
  • MiMedx (MDXG +$1.47 after Wednesday’s +$1.25);
  • Solid Biosciences (SLDB +$1.42);
  • Ionis Pharmaceuticals (IONS +$1.40 after Wednesday’s -$1.69, Tuesday’s +$3.65 and Monday’s +$2.02
  • BioLife Solutions (BLFS +$1.28);
  • Intellia Therapeutics (NTLA +$1.15 after Wednesday’s -$0.26, Tuesday’s +$1.53 and Monday’s -$1.16);

 

Thursday’s (5 of 5) decliner:

  • Editas Medicine (EDIT -$1.28 after Wednesday’s -$0.94);
  • Cellectis SA (CLLS -$0.89 after Wednesday’s +$2.33, Tuesday’s -$5.35 and Monday’s +$1.70);
  • Vericel (VCEL -$0.08 after Wednesday’s -$0.41);
  • Voyager Therapeutics (VYGR -$0.02);
  • Caladrius Biosciences (CLBS -$0.01);

Closing flat - 1 –Mesoblast (MESO) and Stemline Therapeutics (STML – acquired)

 

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

  • Thursday’s percentage (%) of the 28-upside were +0.20% (FATE) to +24.07% (SLDB) while the 5-downside ranges from -0.23% (VYGR) to -3.16% (CLLS);
  • 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:

A sentiment sidebar, more than 247,000 new infections and more than 3,600 COVID-19 (Wuhan virus) deaths were reported on Wednesday, according to Johns Hopkins University data, the highest single-day tallies yet. A record 113,000 people are currently hospitalized with the virus, according to The Atlantic’s COVID Tracking Project.

Infection cases <Million>:

  • Thursday 17 M cases
  • Wednesday 16.73 M cases
  • Tuesday 16.52 M cases
  • Monday 16.25 M cases

Thursday’s death rate totaled 307,770 after Wednesday’s 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:

  • Thursday: 13 out of the 28-upside had higher than the 3-month average 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:

  • Thursday was down -0.57 points or -2.53% at 21.93
  • 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:

  • Thursday: 3 out of the 5-downside had higher than the 3-month average 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 …

Thursday closed positive with 28 advancers, 5 decliners and 2 flats

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

Tuesday closed positive with xx advancers, xx decliners and x flats

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.

FUNNY that the largest cell phone company in CHINA is behind Biostage (BSTG) and WHY has the company NOT been able to initiate clinical trials after ten (10) months of a FDA initiation approval.

QUESTION#1: How is Mrs. bin Zhao of DST Capital, the funder of Biostage (BSTG) related to the chairman and founder of Dixintong Technology Group, whose parent company, D. Phone, is one of the largest smartphone retailers in China and its chairman, LIU Dong-hai; along with BSTG’s chairman, Jason Chen, a V.P. of Dixintong Technology Group?

Question#2; WHAT of coincidences, WHO is connecting the dots and WHY the HOLD on trials?

 

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.