October 26, 2015 1:06pm

 

The rally in stocks is all reacting to oversold and undervalued equities and it could be a correlation of who is feeling pain and about picking gains this week

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I bring fresh perspectives that yield a whole that is greater than the sum of the parts as I convey a spectrum of factors that explain outcomes, analytical principles and analysis without the encumbrance of I-Banking.

 

Stocks were mixed to slightly down going into the noon hour Monday with volume on both exchanges running considerably lighter than Friday's pace. The NASDAQ was up by a smidgen, while the S&P 500 fell 0.3% and the Dow dropped 0.04% in the stock market.

The NASDAQ is UP +7.01 or +0.16% to 5,039.28 while the DOW is DOWN -6.95 or -0.04% to 17,639.75.

 

 

Pre-open:

 

 

A day in the life of the stem, cell and gene therapy RegMed sector:

It's a “picker's” market, not a stock market!  Who needs to play the option game, many shares are set at option pricing!

  • Biotech, pharma and health care look treacherous.

But there are plenty of stem, cell and gene therapy stocks at new lows and there are few related stocks near or close to any highs – read more here and pick carefully!

  • The stem, cell, gene therapy and regenerative medicine (SCGT&RM) stocks opened in the “toilet”, got flushed at the first half hour and then jumped to the upside on Monday slipping with the remnants of a the doom and gloom arising, subsiding and rising again in the morning session.

While many stocks are still as much as 25% off their highs, “our” universe continues to move without direction and at this point, there aren’t many reasons to think anything but the short term, for it won’t ... be any different – financial results are coming - scatter!

  • The SCGT & RM equities opened negative with an A/DL of 13/28 and 3 flats dropping to a precipitous negative first half hour A/DL’ of 6/37 and 0 flats jumping to positive first hour of an A/DL of 22/19 and 0 flats diving to a negative second hour (11:30 am) with an A/DL of 19/24 and 0 flats building to a positive mid-day A/DL of 23/20 and 0 flat.

 Reiterating, the old Ben Graham quote fits the morning? "In the short run, the market is a voting machine but in the long run it is a weighing machine"! Yeah, well, I think that applies nicely right now to our current situation.

  • Volume is still low in respect to the downdraft!
  • The iShares Biotechnology ETF (IBB) rose more than 1%.
  • My fear index, the CBOE Volatility Index (VIX) traded near 15.

 

 

Dosing the sector – 43 Patients:

  • Open: NEGATIVE with 28 decliners, 13 advances and 2 flats;
  • 1st half-hour: NEGATIVE with 37 decliners, 6 advancers and 0 flats;
  • First full hour (10:30 am): POSITIVE with 19 decliners, 22 advancers and 2 flats;
  • Second hour (11:30 am): NEGATIVE with 24 decliners, 19 advancers and 0 flat;
  • Mid-day (12:30 pm): POSITIVE with 20 decliners, 23 advancers and 0 flat

 

 

Who is down – top 5?

  • Spark Therapeutics (ONCE) is down $1.66 to $60.15;
  • Histogenics (HSGX) -$0.56 to $3.93;
  • Cellectis ADR (CLLS) -$0.40 to $25.62;
  • AxoGen (AXGN) -$0.29 to $4.25;
  • Applied Genetic Technologies (AGTC) is down -$0.22 to $12.30

 

 

Who was UP?

  • Juno therapeutics (JUNO) is up +$1.28 to $50.46;
  • VistaGen (VSTA) +$0.99 to $7.99;
  • Aduro Biotech (ADRO) is up +$0.54 to $24.68;
  • Regenxbio (RGNX) +$0.55 to $14.70;
  • MiMedx (MDXG) is up +40.15 to $9.03

 

 

Who is flat?

0

 

 

I bring fresh perspectives that yield a whole that is greater than the sum of the parts as I convey a spectrum of factors that explain outcomes, analytical principles and analysis without the encumbrance of I-Banking.

 

The facts stated and the opinions given in this publication are based on data and information considered to be reliable and have been carefully worked into my analyses and prognoses. However, no guarantee can be given as to their fairness, accuracy or completeness.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities as referred to in this publication.