Not the greatest start to the week but also not the worst. No significant green bars but we also seem to have hit some area of support each day and rallied. As long as that trend is maintained this is not a bad situation. One could be looking at the development of support at these […]
November 20th Biotech Update
It was a good end to the week and let us see how we start. I do not know how to really read the moves this week as I suspect it is going to be pretty slow on the news and the volume front. This morning is probably pretty indicative as to what we would […]
October 30th Biotech Update
It was not a great end to last week and it looks like we are going to be getting to that $62 level sooner rather than later. I still sort of worry that we have not had a panic move but perhaps we are setting ourselves up that move this week. In any case, $62 […]
October 19th Biotech Update
And just like that the potential relief rally is over. We are breaking new lows and the little rally looks like another lower high. I had at least one day of potential hope for the sector but my long-standing view that we are heading to the $62 area seems unfortunately accurate. Of course, there is […]
October 9th Biotech Update
We had a decent end to the week in that we rallied a little but I still think as long as we stay under $75 it is nothing more than a rally that resets the oversold conditions. With a new war in the Middle East and one that has uncertainty as to the potential to […]
July 6th Biotech Update
We are bouncing around support and while it is good that it holds, it is dangerous for the sector. If we wanted to be positive, then we are grinding out some volume adding more strength to this support and providing a nice base from which to move higher. Given that we have all experienced the […]
May 2nd Biotech Update
Certainly, a good start to the week. We basically got to the upper end of a range around $83 and I would not be surprised to see that act as a little bit of resistance, although if we are in a bull market it should not last too long. I would like to see us […]
April 27th Biotech Update
Are we breaking down? It has certainly not been a good couple of days but even though we are under the $80 level on the XBI, it looks like we are still at the bottom of a range. This is certainly a precarious position and not one where I think we want to linger. There […]
April 20th Biotech Update
This week has been pretty tame in the sense that we have not really built on the move higher but have not broken below that $80 level that I think is key to hold. I think we are all a little impatient with the sector given its recent performance but grinding right above the $80 […]
March 15th Biotech Update
Not the best start to the day. It seems like banks are taking a hit (and not just the regionals but even the too big to fail variety) and as long as the market perceives a banking crisis, it will be difficult for the market to rally. To be fair when you have two of […]
February 13th Biotech Update
Not the greatest way to end the week as we clearly did not get that higher low that was the potential. We still could get a nice little trend, but we cannot get any lower. There is also a potential that we get back to the lower end of the old range, which would make […]
February 3rd Biotech Update
I think I was right that we were entering a new uptrend but it still looked like we were in the range. It seems like we are in the process of breaking out but we still need to retest the old resistance and make sure it is new support. Whether we need to run higher […]
January 4th Biotech Update
Not the best start to the year but we still remain in that range. I will be more interested to see how the sector trades next week as we get closer to JPM. I suspect the market is getting hit by both the Fed worries (I have to imagine that this impact lessens as the […]
December 22nd Biotech Update
The sector has done well since we approached the lower end of the range as was expected. A bounce from the low end made perfect sense. We are basically in the middle of the range and I still suspect that the sector makes it way to the upper end around $86. It will not be […]
November 2nd Biotech Update
The sector has done pretty well this week considering the broader market and the concerns over the Fed. I still think we should remember not to fight the Fed but the fundamentals for the sector in terms of the earnings have been generally positive. There were some outliers like ABBV but for the most part […]
October 27th Biotech Update
A strong start yesterday but it weakened in the afternoon. We are near the top of the range that seems to have developed. It would not be surprising to see that upper end act as resistance. I am not sure there is anything that can happen today that could be definitive. Even if we break […]
September 23rd Biotech Update
It has not been a good week for the market or the sector. We have clearly broken down and interest rate concerns are probably going to at best keep a lid on the upside and at worst continue the downside. I do not think it was a coincidence that the sector seemed to get it […]
September 14th Biotech Update
Well, that was not a great day. Interest rates and risk off are not kind to the sector. As long as we can hold support I think we will be fine. I am not convinced that this is going to be a large and sustained sell off as opposed to a quick adjustment. I get […]
August 10th Biotech Update
Did we have that pullback that refreshed? Sort of. We went down to what was resistance and have bounced but it was a quick little move. In some ways, a move down to the $87 level on the XBI would be the former resistance and I will be really looking to see if we make […]
July 29th Biotech Update
I have had family in town that has changed my schedule and so it has been slow on the updates this week. There is growing optimism in the sector and I suspect that we could outperform the rest of the year. Maybe I am crazy but as long as the fundamentals do not crash in […]
