December 22, 2015 7:08pm

After a pitiless 2015 that hasn’t provided any time to “position” holdings fast enough in either direction.

The tug-of-war … BUY or SELL …the sector’s recent declines are enough to force all of us to climb the wall of worry

 

Subscribe or take your losses without complaining …

 

 

 

I say what others won't, so you can do what others can't!

 

 

U.S. stocks closed higher Tuesday, helped by some stabilization in oil prices and recovery in hard-hit areas of the market this year

The NASDAQ closed UP +32.19 or +0.65% to 5,001.11 and the DOW closed UP +165.65 or +0.96% to 17,417.27.

 

 

Henry’omics:

The stem, cell and gene therapy RegMed (SCGT&RM) sector opened negative, jumped positive at the mid-day  to close negative (of 43 covered companies).

  • The NASDAQ composite closed above the psychologically key 5,000 level for the first time since last Thursday.

Most traders, speculators and hedge funds just want to exit weak “hands” to end the week early …

  • I attributed the… pains in SCGT&RM stocks to year-end seasonal factors with U.S. markets close early Thursday, Christmas Eve which are shut Friday for Christmas Day.

I think a lot of investors, speculators and traders are more than happy to see this year come to an end.

 

My fear gauge is SLIPPING – the CBOE Volatility Index (VIX) traded Tuesday near 16.5 following Monday’s below 19 as compared to

·         Friday’s above 20;

·         Thursday’s near 17.5

·         Wednesday’s above 17.5

·         Last Tuesday’s near 20.5 from …

So the question now is what happens next year?  Will the volatility of volatility persist and will divergences continue?

  • The next biggest question has largely to do with who is leading which companies in “our” universe! The elements of clinical data and the baggage of the usual suspects …

Which will happen? The good news is that we will find out soon enough. Must we take further recklessness on?

  • The final question … why do we pay-off … those who destroyed share price value!

 

 

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

  • The opening bell rang negative with an A/DL of 14/26 and 3 flats closing negative in Tuesday’s session with an A/DL of 25/15 and 3 flats;
  • One key element was the positive A/DL of 22/20 and 1 flat at the first hour <10:30 am>

 

 

Tuesday’s trading response to the morning indications - 4 hits, 1 miss:

  • bluebird bio (BLUE) closed DOWN -$0.45 – hit;
  • Capricor (CAPR) closed DOWN -$0.46 – hit;
  • Northwest Bio (NWBO) closed DOWN -$0.20 – hit;
  • Kite Pharma (KITE) closed DOWN -$1.20 – miss;
  • Vericel (VCEL) closed DOWN - $0.00 – hit;

 

 

Riding the indexes and ETFs roller-coaster:

The iShares Biotechnology Stocks ETF (IBB) closed UP on Tuesday +0.53 or +0.16% …

·         Monday advance of +0.64 or +0.19%;

·         Friday’s decline of -0.63 or –0.19%;

·         Thursday’s decline of  -5.28 or -1.56%;

·         Wednesday’s advance of  +7.41 or +2.25%;

·         Last Tuesday’s +9.15 or +2.85%; following …

The NASDAQ Biotechnology index (NBI) closed UP on Tuesday +4.27 or +0.12% …

·         Monday’s advance of  +26.34 or +0.76%;

·         Friday’s decline of -22.40 or -0.65%;

·         Thursday’s -59.21 or -1,68%;

·         Wednesday’s +79.79 or +2.31%;

·         Last Tuesday’s +95.02 or +2.83 %;

The Russell 2000 (IWM) closed UP on Tuesday +1.03 or +0.52% …

·         Monday’s advance of +0.84 or +0.75%;

·         Friday’s decline of -1.73 or -1.53% ;

·         Thursday’s decline of  -1.22 or -1.07%;

·         Wednesday’s advance of +1.72 or +1.53% ;

·         Last Tuesday’s advance of +1.60 or +1.44%;

The SPDR SD&P Biotech ETF (XBI) closed DOWN on Tuesday -0.40 or -0.57% …

·         Monday advance of +0.80 or +1.16%;

·         Friday’s advance of +0.38 or +0.55%;

·         Thursday’s decline of -0.85 or -1.22%;

·         Wednesday’s advance of +2.93 or +4.39%;

·         Last Tuesday’s advance of +1.86 or +2.86% following …

 

 

 

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

  • Opening bell: NEGATIVE with 26 decliners, 14 advancers and 3 flats;
  • 1st half-hour: NEGATIVE with 27 decliners, 14 advancers and 2 flats;
  • 1st hour (10:30 am): POSITIVE with 20 decliners, 22 advancers and 1 flat;
  • Closing bell: NEGATIVE with 29 decliners, 13 advancers and 1 flat

 

 

Who was UP – top 5:

  • Cellectis S.A. (CLLS) closed up +$0.98 to $29.05;
  • Regenxbio (RGNX) +$0.36 to $18.56;
  • Mesoblast (MESO) +$0.22 to $6.29;
  • MiMedx (MDXG) +$0.11 to $9.46;
  • Athersys (ATHX) +$0.07 to $1.08 – on a debt transaction, don’t expect ANY real appreciation, it’s based on an ATM – debt;

 

 

 Who closed down – top 5:

  • Aduro Biotech (ADRO) closed down -$2.67 to $26.98;
  • Kite Pharma (KITE) -$1.02 to $62.15;
  • uniQure (QURE) -$0.54 to $16.55;
  • Capricor (CAPR) -$0.46 to $3.29;
  • bluebird bio (BLUE) closed down -$0.45 to $64.12;

 

 

Flat:

  • ReNeuron (RENE.L) at $2.875;

 

 

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.