October 18, 2022 4:52pm

How many lanterns were signaling algorithms and electronic trading buy and sells?

Pre-open indications: 6 Hits, 2 Miss and 1 Pump/Promote (Biostage (BSTG)

It’s an honor to be considered the “canary in the (sector) coal mine”!  I post about “indication intelligence” devoting my time to collection and analysis of information to assist investors in the perception of sector vulnerabilities and strengths

It’s more than opinion, the facts and truth need to be recognized! Why do I keep writing this blog/newsletter; to inform investors, what others won’t say or write

Can I say, I wrote you so ..

If I have learned one thing as a former research analyst in a venture and public fund now a journalist; it is that your life and your bank account are largely tied to your knowledge of price movements and questioning pricing targets.

 

The Dow closed UP +341.27 points (+1.13%), the S&P closed UP +42.38 points (+1.15%) while the Nasdaq closed UP +96.60 points (+0.90%)

 

Henry’omics:

Indexes rose for a second straight session on Tuesday helping extend a rally to start the week.

Solid start to earnings season signals the economy is currently in better shape than feared, or is it?

Trading was choppy, as electronic trading and algorithmic “rules” seem to lack confidence in the cell and gene therapy sector.

I expect more LPS (loss-per-share) in sector earnings usually missing expectation!

 

RegMed Investor’s (RMi) Pre-Open: “how many signals are needed to forecast the sector’s move. At least, Paul Revere arranged to have a signal lit in the Old North Church – one lantern if the British were coming by land and two lanterns if they were coming by sea.” … https://www.regmedinvestors.com/articles/12654    

 

All-time lows: Verastem (VSTM) at $0.35

 

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

  • Tuesday’s advance/decline line opened positive at 27 up/ 8 down and 0 flat, flipped negative with 16 up/ 17 down and 2 flat at the mid-day, ending with a positive close of 21/13 and 1 flat.

 

Pre-open Indications: 6 Hit < Agenus (AGEN +$0.0387), Ionis Pharmaceuticals (IONS -$0.58), Intellia Therapeutics (NTLA +$0.45), CRISPR Therapeutics (CRSP +$0.55), Fate Therapeutics (FATE +$0.57), Verve Therapeutics (VERV +$0.56)> 2 Miss < Solid Biosciences (SLDB -$0.0011), Beam Therapeutics (BEAM -$0.05)> 1 Pump/Promote < Biostage (OTCQB: BSTG +$0.28)

 

Key Metrics:

  • Tuesday - Sector volume was LOW with 4 of the 21-upside having higher than the 3-month average volume with LOW volume of 2 of 13-downside having higher than the 3-month average volume

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

  • Tuesday, the IBB was up +0.18% and the XBI was up +0.53%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Tuesday was down -0.58 points or -1.85% at 30.79

 

Jumping with share pricing momentum (10 of 21):

  • Ultragenyx (RARE +$1.15 after Monday’s +$1.24),
  • Verve Therapeutics (VERV +$ 0.60 after Monday’s +$1.80),
  • CRISP Therapeutics (CRSP +$0.57 after Monday’s +$2.26),
  • Fate Therapeutics (FATE +$0.56),
  • Intellia Therapeutics (NTLA +$0.54 after Monday’s +$2.20),
  • Editas Medicine (EDIT +$0.52),
  • Chinook Therapeutics (KDNY +$0.40 after Monday’s +$1.16),
  • Brainstorm Cell Therapeutics (BCLI +$0.35 after Monday’s -$0.12),
  • Biostage (BSTG +$0.28 after Monday’s +$0.92),
  • AxoGen (AXGN +$0.15),

Flat (1):

  • Precigen (PGEN)

Closing down (13 of 13):

  • BioLife Solutions (BLFS -$1.10 after Monday’s +$1.11),
  • Alnylam Pharmaceuticals (ALNY -$1.04 after Monday’s +$9.56),
  • Ionis Pharmaceuticals (IONS -$0.32),
  • Caribou Biosciences (CRBU -$0.28),
  • Compass Therapeutics (CMPX -$0.13),
  • Beam Therapeutics (BEAM -$0.12 after Monday’s +$2.70),
  • Cellectis SA (CLLS -$0.09),
  • MiMedx (MDXG -$0.040,
  • Verastem (VSTM -$0.02),
  • Regenxbio (RGNX -$0.02 after Monday’s +$1.36),
  • Bluebird bio (BLUE -$0.02),
  • Adverum Biotechnologies (ADVM -$0.0185),
  • Sangamo Therapeutics (SGMO -$0.01),

 

Q4 - October

  • Tuesday closed positive with 21 incliner, 13 decliners and 1 flat
  • Monday closed positive with 33 incliner, 2 decliners and 1 flat

 

The BOTTOM LINE: A welcomed again to the Tuesday upside as the sector was recognized by electronic trading and algorithms.

I try to keep it simple … and short!

We will be seeing what October brings – Q3 earnings LPS (loss-per-share) season and a whole lot of economic indicators.

Alnylam Pharmaceuticals (ALNY) is the first to declare is Q3 earnings report on Thursday, 10/27 at 8:30 a.m.

Remember, historically October has NEVER been a good month for equities.

DISPOSE Avrobio (AVRO) who experiences news and the stock drops after a de-listing notice while the management DID NOTHING to AVOID this dilemma while president, CEO and director Geoff Mackay carries home a HUGE salary of $754.39 K per year?

·         AVRO closed up on Tuesday +$0.07 after ILAP designation from the UK news after Monday’s +$0.02 to $0.60 which STILL does NOT get close to the $1.00 to continue its Nasdaq listing after a delisting notice.

·         Will AVRO have to “commission" a stock reverse to address delisting?

Applied Genetic Technologies (AGTC) closed up a BARELY +$0.0022 and is 17 sessions into getting delisted (under $1.00)

October has 1 neutral, 7 positive and 5 negative closes;

As I continually question, “The real question that should be asked is how many companies are at the end of sentiments …  leash?

Start by looking at cell and gene therapy companies trading below cash!” 

I stick to my view of anticipating the risks – as my careers focus has been “warning analysis”.

 

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.

Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.