October 11, 2021 5:42pm

The high is back but, is the sector fishing for share pricing risk and volatility

Pre-open indication results: 3 Hits and 2 MISS

My version of the session’s “indications” is about what you need to know; it’s what did happen after the opening, mid-day and to the close

An objective, fact and numbers-based narrative


The Dow closed DOWN -250 points (-0.72%); the S&P closed DOWN -30.15 points (-0.69%) while the Nasdaq closed DOWN -90.34 points (-0.64%)

 

Henry’omics:

Indexes reversed lower in afternoon trading, as the Nasdaq was dipped.

Sector stocks churned for most of the day, but selling increased in the final hour, with the major averages closing the session still positive.

 

Interesting note: Merck (MRK) stock dropped -1% adding to Friday’s -1.6% dive as it today submits Covid Pill to FDA for emergency approval; Molnupiravir, an oral antiviral, is shown in a late-stage trial to reduce the risk of hospitalization or death by around 50%.

 

RegMed/Stem/Cell and Gene therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what’s happening …

  • Monday opened positive at 18/15, 1 flat and 1 acquired, stayed positive at the mid-day at 24/8, 2 flats and 1 acquired, ending with a positive close of19/14, 1 flat and 1 acquired;
  • Friday opened negative at 11/20, 3 flats and 1 acquired, stayed negative at the mid-day at 8/25, 1 flat and 1 acquired, ending with a negative close of 7/24, 3 flats and 1 acquired;

 

RegMed Investors’ (RMi) pre-open: “expectation, sector stocks set for diving start. Slips and dips have responded to what, the upcoming earning’s LPS (loss-per-share) season?” …  https://www.regmedinvestors.com/articles/12132

 

Pre-open indication results: 3 Hits: < Biostage (BSTG $0.00), Regenxbio (RGNX +$2.15), ReNeuron (RENE.L +$20.42)> and 2 MISS< CRISPR Therapeutics (CRSP +$2.11), Intellia Therapeutics (NTLA +$4.50)>

 

Key Metric - volume:

  • Sector volume was LOW with 4 of the 19-upside having higher than the 3-month average volume with INCREASED volume of 5 of 14-downside having higher than the 3-month average volume;

Largest upside volume:

  • ReNeuron (RENE.L +$20.40 – 2,099 m shares traded)

Largest downside volume:

  • Voyager Therapeutics (VYGR -$0.69 – 18.5 m shares traded)

 

There are clear winners and losers

Jumping with share pricing momentum (10 of 19):

  • ReNeuron (RENE.L +$20.70 after Friday’s +$2.30)
  • Intellia therapeutics (NTLA +$5.22 after Friday’s -$14.07),
  • CRISPR Therapeutics (CRSP +$2.02 after Friday’s -$4.36),
  • Regenxbio (RGNX +$1.94 after Friday’s -$0.82),
  • Fate Therapeutics (FATE +$1.62 after Friday’s -$1.40)
  • Alnylam Pharmaceuticals (ALNY +$0.83 after Friday’s +$0.79)
  • bluebird bio (BLUE +$0.80 after Friday’s +$0.22),
  • Global Blood Therapeutics (GBT =$0.70 after Friday’s +$1.79),
  • Ionis Pharmaceuticals (IONS +$0.32 after Friday’s +$0.32),
  • Sage Therapeutics (SAGE +$0.19),

Hammered in today’s market (10 of 14):

  • Vericel (VCEL -$1.48 after Friday’s -$0.98)
  • Voyager Therapeutics (VYGR -$0.75 after Friday’s +$1.71),
  • Ultragenyx (RARE -$0.65),
  • BioLife Solutions (BLFS -$0.52 after Friday’s -$2.42)
  • Mesoblast (MESO -$0.12 after Friday’s +$0.02)
  • AxoGen (AXGN -$0.09 after Friday’s -$1.00),
  • Cellectis SA (CLLS -$0.08 after Friday’s -$2.91),
  • uniQure NV (QURE -$0.06),
  • Precigen (PGEN -$0.06),
  • MiMedx (MDXG -$0.06),

Closing Flat:

1 – Biostage (BSTG) and 1 - Stemline Therapeutics (STML) – acquired

 

Stats:

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

  • Monday, the IBB closed down -0.35% and XBI closed up +0.51%
  • Friday the IBB closed down -0.76% and XBI closed down -0.38%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Monday was up +1.23 points or +6.55% at 20.00
  • Friday was down -0.77 points or -3.94% at 18.77

 

October, the first month of Q3/21:

Monday (10/11) closed positive with 19 advancers, 14 decliners, 1 flat and 1 acquired

Friday closed negative with 7 advancers, 24 decliners, 3 flats and 1 acquired

 

The BOTTOM LINE: I welcome the upside but, warn of “harm” coming to share pricing.

Reiterating, “the stem, cell and gene therapy sector is still seen as vulnerable to extreme moves in either direction, overbought and oversold categories as risk stimulates the susceptibility!”

I’m STILL a “beware or the cautious man” whose focus has always been “warning analysis” … earnings’ season is NOT over … my advice, trim and skim any new highs if one can!”

WHY do I keep analyzing Biostage (BSTG): When one sees an inextricable wrong and morally repulsive scenario; it takes courage, resolve and patience to stay the course of asking the questions without response!

Who is defining the metrics for investors and keeping you notified of the sector and market fluctuations?  What I provide is a trusted source of share pricing intelligence – it’s more than opinion, I deal in the facts and numbers that back them up.