November 20, 2015 4:53pm

 

The who … cares dilemma is a little too prevalent; investors can’t see or feel sustainable portfolio appreciation which will lead to end-of-year tax selling after months of barely holding on to gains

Also an option expiration day!! Subscription required … http://www.regmedinvestors.com/create-account

 

I say today what others won't, so you can do what others can't - access insight into sector sentiment and share pricing!

 

 

U.S. stocks closed higher Friday, helped by gains in retail stocks, as investors looked to central banker comments on the trajectory of monetary policy. The major averages ended the week with gains of more than 3%.  In afternoon trade, the Dow Jones industrial average pared gains to hold about 80 points higher. Earlier, the index briefly joined the S&P 500 and NASDAQ composite in positive territory for 2015.

The NASDAQ closed UP +31.28 or +0.62% to 5,104.92 and the DOW is UP +91.06 or +0.51% to 17,823.81.

 

 

Henry’omics:

The stem, cell and gene therapy RegMed sector opened negative, slipped neutral in the first hour, flipped to the upside at the 2nd hour to a positive stance at the mid-day, staying positive until the 3 pm hour and closed in positive territory (of 43 covered companies)!

  • Skepticism enhances irrationality!

The iShares Nasdaq Biotechnology ETF (IBB) traded Friday … after Thursday’s decline of -1.5% after Wednesday’s advance of +2% following Tuesday’s improvement +1.3% while Monday was slightly higher.

  • My fear gauge is flopping – The CBOE Volatility Index (VIX) traded Friday below 16 … following Thursday’s near 17 after Wednesday’s above 17 after Tuesday’s near 19 following Monday’s below 19.

 

 

A day in the life of the stem, cell and gene therapy RegMed (SCGT & RM) sector:

  • The SCGT & RM equities opened negative with an Advance/Decline line (A/DL) of 19/20 and 4 flats;
  • The mid-day flipped/flopped with a positive A/DL of 19/22 and 3 flats;
  • The closing bell rang positive to end Friday’s session with an A/DL of 27/15 and 1 flat.

 

 

My pet peeve:

  • High-frequency trading accounted for 49% of November's daily trading volume of about 7.2 billion shares, according to TABB Group;
  • During the peak levels of high-frequency trading in 2009, about 61% of 9.8 billion of average daily shares traded were executed by high-frequency traders.

 

 

Out and about:

It is important to recognize that no one knows what will happen in the future.

  • MY view is based on the facts in evidence and current precedent, as well as personal opinion. Usually a short-term view can be discarded but any indicator has a bearing on a near and long-term view.

 

>> Capricor (CAPR) closed UP +$0.02 having been DOWN -$0.21 until minutes before the close to $3.67 with 49.3 K shares traded <3 month average = 20.45 K shares>

  • CAPR closed DOWN Thursday -$0.11 after Wednesday’s+$0.13>.  So, why again is the chairman being paid so much ($10 K a month) to “manage” the CEO?
  • I have been negative since March and more often than not correct about the deflation of its share pricing - time after time after time;
  • Be ready for an offering!!

 

 

>> Harvard Apparatus RT (HART) has experiences unbelievable volumes and price appreciation in the past week:

  • Monday <2.17 M shares traded> - +$0.05;
  • Tuesday <1.922 M shares> - +$0.14;
  • Wednesday <1.716 M shares> - +$0.04
  • Thursday <8.02 M shares> - +$0.16
  • Friday <3.867 M shares> = +$0.12

The question is … does ONE experiment <surgery> present a data set that will facilitate a specific determination of the proof of concept??  There are MORE needed … at ever increasing time frames <3 month, 6 month, 9 month and 12 month> to VALIDATE the INITIAL findings and the methods of actions gained or identified?

  • Also can this pricing and volume momentum be sustained – the volatility has been unprecedented?
  • Disclosure, I personally like the CEO and members of the corporate staff but, the facts must be placed in evidence!!

HART closed Friday at $1.79 after Thursday’s close of +$1.67 having been up as high as +$0.73 <1 PM>, Wednesday’s $1.51, Tuesday’s $1.47 and Monday’s $1.33. <For the record, the last offering in 2014 was completed at $1.75>.

 

 

Friday’s trading indications:  4 hit/ 1 miss

  • Capricor (CAPR) closed UP – miss;
  • Harvard Apparatus RT (HART) closed UP - hit;
  • Kite Pharma (KITE) closed DOWN – hit;
  • Juno Therapeutics (JUNO) closed DOWN – hit;
  • MiMedx (MDXG) closed UP – hit;

 

 

Riding the indexes and ETFs roller-coaster:

  • The iShares Biotechnology Stocks ETF (IBB) closed UP on Friday +0.07 or +0.02% following Thursday’s decline of -5.32 or -1.57% after Wednesday’s +9.60 or +2.92% following Tuesday’s advance of +4.25 or +1.31% after Monday’s advance of +1.25 or +0.39%;
  • The NASDAQ Biotechnology index (NBI) closed DOWN on Friday -2.59 or -0.07%following Thursday’s -54.06 or -1.53% after Wednesday’s +100.77 or +2.93% following Tuesday’s up of +45.73 or +1.35% after Monday’s+10.84 or +0.32%;
  • The Russell 2000 (IWM) closed UP on Friday +0.75 or +0.65% following Thursday’s decline of -0.49 or -0.42% after Wednesday‘s+1.94 or +1.69% following Tuesday’s decline of -0.44 or -0.38% after Monday’s advance of +0.98 or +0.86%;
  • The SPDR SD&P Biotech ETF (XBI) closed UP on Friday 0.16 or +0.23% following Thursday’s -1.27 or -1.80% after Wednesday’s +2.03 or +2.96% following Tuesday’s advance of +0.50 or +0.73% after Monday’s decline of -0.12 or -0.18%;

 

 

Dosing the sector – what a day for the 43 Patients:

  • Open: NEGATIVE with 20 decliners, 19 advances and 4 flats;         
  • Mid-day (1 pm): POSITIVE with 19 decliners, 22 advancers and 3 flats;
  • Closing bell: POSITIVE with 15 decliners, 27 advancers and 1 flat

 

 

Who was UP – top 5:

  • VistaGen (VSTA) closed up +$1.25 to $6.75;
  • Bellicum (BLCM) +$1.13 to $22.02;
  • Spark Therapeutics (ONCE) +$1.00 to $55.01;
  • bluebird bio (BLUE) +$0.92 to $80.65;
  • Applied genetic Technologies (AGTC) closed up +$0.57 to $16.63

 

 

Who closed down – top 5:

  • Cellectis S.A. (CLLS) closed down -$2.87 to $33.20;
  • Intrexon (XON) -$1.80 to $34.85;
  • Kite Pharma (KITE) -$1.17 to $82.93;
  • Juno therapeutics (JUNO) -$0.56 to $53.06;
  • Mesoblast (MESO) closed down -$0.42 to $5.86

 

 

Flat:

  • ReNeuron (RENE.L) at $3.00

 

 

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.