January 14, 2016 1:24pm
Volatility hampers perception by a thousand cuts of sentiment
The “game” has changed, it use to be that headlines from the conference ruled the week even after the meetings, parties and models delivered <again> by LifeSci Advisors who passed the platter of philogyny to initiate the investment?
Should have read last night’s closing bell and the early pre-open, the fallout seems to be hitting the “usual suspects”. Why, subscribe or take your losses without complaining …
I say today what others won't, so you can do what others can't whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.
U.S. stocks traded higher Thursday, attempting to stabilize after a steep sell-off, helped by some recovery in oil prices and comments from Federal Reserve policymakers. The Dow gained more than 200 points in mid-morning trade. The S&P 500 held about 1% higher in midday trade, topping the psychologically key level of 1,900 in intraday trade. The NASDAQ rose.
The NASDAQ is UP at the mid-day +78.79 or +1.74% to 4,603.33 and the DOW is UP +243.39 or +1.51% to 16,394.80.
The 34th Annual JP Morgan Healthcare Conference entered its third (3rd) day Wednesday with pharma, life science, biotech, stem, cell and gene therapy and RegMed firms making presentations to investors and other attendees.
- There's a sudden - spurt of buying, which is part of the problem … or a short time solution?
The fact that the stem, cell and gene therapy RegMed (SCGY&RM) sector is slowly erasing the pain of dips and able to rally tells you that the oversold conditions are being addressed by trading but, the impact will last for how long?
- Investors need to understand more about “our” universe and its patterns of movements!
I think the market is still waiting to see how Q4 financial results will identify the operating expense and the runway forecasts and ATM/debt usage!
- The stem, cell and gene therapy RegMed (SCGT&RM) sector opened negative and surprisingly flipped to a positive stance at the mid-day (of 43 covered companies).
ATM stabilization usage only goes so far and as I stated yesterday, ARTIFICIALITY can ONLY last so long!!
- My other ... question is … how many CEO and executive wives will be happy that their respective spouses are “mingling” with models provided by LifeScience Advisors as a “come-on” to investment and PR usage? The litmus test is it smells …!!
The best stance in a volatile sector is to decide what stocks should be cut and which equities those investors have enough conviction in to sell, hold or even buy through these “troubles”.
My fear gauge or the CBOE Volatility Index (VIX), widely considered the best gauge of fear in the market traded
· Thursday traded at the mid-day below 24;
· Wednesday closed UP near 25;
· Tuesday traded DOWN to 22.5
· Monday traded near 24
A day in the life of the stem, cell and gene therapy RegMed (SCGT & RM) sector – the advance/decline line scenario …
- Thursday, the stem, cell and gene therapy RegMed sector opened negative with an A/DL of 6/35 and 2 flats. The mid-day flipped positive with an A/DL of 29/14 and 0 flat.
Dosing the sector – what a day for the 43 Patients:
- The market opened: NEGATIVE with 35 decliners, 6 advancers and 2 flats;
- The 1st half-hour: NEGATIVE with 36 decliners, 5 advancers and 1 flat;
- First full hour: NEGATIVE with 28 decliners, 13 advancers and 2 flat;
- Second hour: NEGATIVE with 27 decliners, 15 advancers and 1 flat;
- The mid-day (12:30 pm: jumped POSITIVE with 14 decliners, 29 advancers and 0 flat;
Who is DOWN - 10:
- Histogenics (HSGX) is down -$0.28 to $2.27;
- Harvard Apparatus RT (HART) -$0.21 to $1.74;
- Applied Genetic Technologies (AGTC) -$0.22 to $14.40;
- ReNeuron (RENE.L) -$0.11 to $3.14;
- Osiris (OSIR) -$0.14 to $8.56;
- Mesoblast (MESO) -$0.102 to $5.948;
- BioLife Solutions (BLFS) -$0.08 to $1.63;
- Neuralstem (CUR) -$0.064 to $0.727;
- Organovo (ONVO) -$0.035 to $1.895;
- Capricor (CAPR) is down -$0.04 to $2.01
Who is UP – 10:
- Kite Pharma (KITE) is up +$4.65 to $54.89;
- Intrexon (XON) +$1.87 to $23.25;
- Spark Therapeutics (ONCE) +$0.94 to $31.56;
- Juno Therapeutics (JUNO) +$0.55 to $35.65;
- Bellicum (BLCM) +$0.53 to $12.90;
- VistaGen (VSTA) +$0.30 to $8.90;
- Regenxbio (RGNX) +$0.29 to $12.80;
- MiMedx (MDXG) +$0.37 to $8.80;
- Stemline (STML) +$0.21 to $4.96;
- Asterias (NYSEMKT: AST) +$0.21 to $2.81
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.