January 7, 2021 5:25pm

Numbers based facts speak better then opinion

Pre-open indication: 5 HITs and 1 MISS

News: Vericel (VCEL +$2.98) - UnitedHealthcare (UNH) has expanded its medical policy for MACI® (autologous cultured chondrocytes on porcine collagen membrane) to include coverage for patients with symptomatic full-thickness cartilage defects in the patella and multiple cartilage defects in the knee.

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

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The Dow closed UP +211.73 points (+0.69%); the S&P closed UP +55.65 points (+1.48%) while the Nasdaq closed UP +326.69 points (+2.56%)

 

Henry’omics:

Indexes rose to all-time highs on Thursday as Congress confirmed the election of Joe Biden as president and traders looked past the unrest in Washington.

Traders and investors are watching for the hints of legislation agenda for fiscal aid has after the Democratic party secured a slim majority in the Senate, giving it control of both congressional chambers.

As the Nasdaq popped breaking above 13,000 for the first time, the Dow advanced while the S&P 500 advanced above 3,800 for the first time.

 

Data Docket: initial jobless claims came in at 787,000 for the week ending Dec. 31, the Labor Department said. Economists expected a print of 815,000.

 

This a.m.’s post, “RegMed Investors’ (RMi) pre-open: “markets and sectors remain above the fray, although, markets should NOT totally shrug off riots at the U.S. Capitol, there could be a lingering sentiment” … https://www.regmedinvestors.com/articles/11711

 

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

  • Thursday opened positive at 31/3 and 1 flat, stayed positive at the mid-day at 29/5 and 1 flat, closing positive at 31/2, 1 flat and 1 acquired;
  • Wednesday opened positive at 21/13 and 1 flat, stayed positive at the mid-day at 28/5 and 2 flats, closing positive at 22/12, 1 flat and 1 acquired;
  • Tuesday opened negative at 12/20 and 3 flats, swung positive at the mid-day at 19/15 and 1 flat, closing positive at 19/14, 1 flat and 1 acquired;
  • Monday opened negative at 12/21 and 2 flats, strayed positive at the mid-day at 19/15 and 1 flat, closing positive at 26/7, 1 flat and 1 acquired;

 

Pre-open indication:

  • 5 HITs <BUY: Alnylam Pharmaceuticals (ALNY +$12.57), bluebird bio (BLUE +$3.46); Sell into Strength: Fate Therapeutics (FATE +$17.44), uniQure NV (QURE +$3.49), Maintaining SELL: Biostage (BSTG -$0.01> 1 MISS <Regenxbio (RGNX +$0.81)>

 

Key metrics:

  • Sector volume INCREASED with 16 of the 31-upside having higher than the 3-month average volume with the increased volume of 1 of 2-downside having higher than the 3-month average volume;
  • Thursday’s percentage (%) of the 31-upside were +0.63% (PGEN) to +19.77% (SLDB) while the 2-downside ranges from -0.63% (CLBS) to -0.83% (BSTG);

 

There are clear winners — and losers — heading into the first month of 2021.

All-time and 52-week highs;

  • Solid Biosciences (SLDB) 52-week high at 48.34, Sage Therapeutics (SAGE) 52-week high of $91.54, CRISPR Therapeutics (CRSP) all-time high of $183.35, Intellia therapeutics (NTLA) all-time high of $70.89, Fate Therapeutics (FATE) all-time high of $104.73

Hammered in today’s market:

  • Biostage (BSTG), Caladrius Biosciences (CLBS) to name 2 of the 2 declining of the 35 covered

Jumping with share pricing momentum:

  • CRISPR Therapeutics (CRSP), Fate Therapeutics (FATE), Alnylam Pharmaceuticals (ALNY), Intellia Therapeutics (NTLA), Editas Medicine (EDIT) to name 5 of the 31 inclining of the 35 covered

 

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

  • Thursday, the IBB closed up +3.04% and XBI closed up +4.11%
  • Wednesday, the IBB closed up +1.21% and XBI closed up +2.04%
  • Tuesday, the IBB closed up +0.21% and XBI closed down -0.35%
  • Monday, the IBB closed down -0.66% and XBI closed up +0.12%

 

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Thursday was down -2.70 points or -10.77% at 22.37
  • Wednesday was down -0.27 points or -1.07% at 25.07
  • Tuesday was down -1.63 points or -6.04% at 25.34
  • Monday was up +4.22 points or +18.55% at 26.97

 

Stats: Upside volume:

  • Thursday: 16 out of the 31-upside had higher than the 3-month average volume;
  • Wednesday: 14 out of the 22-upside had higher than the 3-month average volume;
  • Tuesday: 6 out of the 19-upside had higher than the 3-month average volume;
  • Monday: 7 out of the 26-upside had higher than the 3-month average volume;

Downside volume:

  • Thursday: 1 out of the 2-downside had higher than the 3-month average volume;
  • Wednesday: 5 out of the 12-downside had higher than the 3-month average volume;
  • Tuesday: 2 out of the 14-downside had higher than the 3-month average volume;
  • Monday: 2 out of the 7-downside had higher than the 3-month average volume;

 

Thursday’s (10 of 31) incliners:

  • CRISPR Therapeutics (CRSP +$30.58 after Wednesday’s +$3.23, Tuesday’s +$2.61 and Monday’s +$4.90)
  • Fate Therapeutics (FATE +$17.44 after Wednesday’s +$13.06, Tuesday’s -$2.96 and Monday’s -$1.25);
  • Alnylam Pharmaceuticals (ALNY +$12.57 after Wednesday’s -$0.62, Tuesday’s -$0.65 and Monday’s -$1.87);
  • Intellia Therapeutics (NTLA +$10.74 after Wednesday’s +$5.73, Tuesday’s +$5.10 and Monday’s +$1.51);
  • Editas Medicine (EDIT +$9.12 after Wednesday’s +$3.70, Tuesday’s +$5.25 and Monday’s +$1.48);
  • Ultragenyx (RARE +$7.91 after Wednesday’s -$2.50, Tuesday’s -$1.48 and Monday’s -$1.96);
  • ReNeuron (RENE.L +$6.50 after Wednesday’s +$6.40, Tuesday’s +$4.60 and Monday’s +$10.50);
  • Vericel (VCEL +$3.02);
  • uniQure NV (QURE +$3.49 after Wednesday’s +$0.77, Tuesday’s +$1.01 and Monday’s +$0.63);
  • bluebird bio (BLUE +$3.46 after Wednesday’s -$0.03 after Tuesday’s +$0.27 and Monday’s +$1.39);

Thursday’s (2 of 2 decliners:

  • Biostage (BSTG -$0.01),
  • Caladrius Biosciences (CLBS -$0.01)

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

 

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

  • Thursday’s percentage (%) of the 31-upside were +0.63% (PGEN) to +19.77% (SLDB) while the 2-downside ranges from -0.63% (CLBS) to -0.83% (BSTG);
  • Wednesday’s percentage (%) of the 22-upside were +0.03% (VCEL) to +15.06% (FATE) while the 12-downside ranges from -0.07% (BLUE) to -6.06% (BLFS);
  • Tuesday’s percentage (%) of the 19-upside were +0.22% (MDXG) to +9.72% (CLBS) while the 14-downside ranges from -0.13% (RGNX) to -12.60% (PGEN);
  • Monday’s percentage (%) of the 26-upside were +0.14% (PSTI) to +12.73% (RENE.L) while the 7-downside ranges from -0.80% (SAGE) to -3.68% (BLCM);

 

Sentiment and a few daily indicators:

Sentiment got a boost after the Institute for Supply Management (ISM) said its index for nonmanufacturing activity in the U.S. rose to 57.2 in December from 55.9 in November. Economists had forecasted a print of 54.5.

However, the Centers for Disease Control & Prevention shows a big bump in doses distributed and less in those administered. The CDC has distributed 21.4 million doses and administered 5.9 million doses so far.

Infection cases <Million>:

  • Thursday 21.41 M cases
  • Wednesday 21.06 M cases
  • Tuesday 20.82 M cases
  • Monday 20.64 M cases

Thursday’s death rate totaled 362,983 after Wednesday’s 357, 620, Tuesday’s 353,632 and Monday’s 351,774 <Johns Hopkins University>

 

January, the 1st month of Q1 …

Thursday closed positive with 31 advancers, 2 decliners and 2 flats

Wednesday closed positive with 22 advancers, 12 decliners and 1 flat

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

Monday (1/4) closed positive with 26 advancers, 7 decliners and 2 flats

 

The Bottom Line: The sector beat the odds … yet again as sector volatility stayed steady.

While markets seemed to ignore and side-step the government riots as markets focused on the broader issue of certifying Biden’s presidency.

Never forget, the Pac-man algorithms are getting hungrier as the sector soars, watch the advance/decline (A/D) lines!

Start taking some profits even if some money is left on the table – safety is cash in your pocket of portfolio!

 

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.