The sector continues to get hit with the broader market. It feels like the sector is still facing the headwinds from the pricing discussions but as it fades into the background, the headwind will lift. Of course, it has to fade into the background and that remains an open question. My base case remains that […]
September 18 Biotech Update
The market supposedly got what it wanted (no hike) but looks like it wants to sell that news. As I said before the meeting, I have no confidence in terms of the next move of the market and if I were to explain the less than enthusiastic reaction, then I would lean towards a disappoint […]
September 16 Biotech Update
The market has done well recently but it is all meaningless for the most part until we get the Fed decision. To be honest, I do not know whether to root for a hike or no-hike. I can come up with what I think are reasonable cases for why the market would rally on either […]
August 20 Biotech Update
Another gap lower but the market remains in a rut refusing to breakdown or breakout. As I have said before, 2015 has been a year of churn and that is going to end up being really robust support for a breakout or really strong resistance for a breakdown. At this point, there is not a […]
August 19 Biotech Update
Not much has changed sector wide since I last wrote but we did have a trade play out, although not quite the way I expected. I want to talk about it today both because there have been some questions around it but also because it goes to the larger theme I think is at work […]
July 7 Biotech Update
There is a little more news today but still relatively quiet. The market seems to be looking for a direction but the sector seems to be outperforming to the upside. Yesterday was certainly better than expected but it also did not end in an exceptionally bullish manner. That is why I still think the market […]
May 22 Biotech Update
Yesterday sort of followed the potential new pattern of gaining strength throughout the day but volumes were a little low as we approach the holiday weekend. I suspect today will be even worse, so I will refrain from making any real interpretations of the moves given the lack of volume. 1. There is a lot […]
Chimera Research Group Catalyst Summary for April 2015
At the end of each month Chimera Research Group provides you with a monthly summary of ten notable catalysts/events that have been completed during the past month. APRIL 2015: Gilead Sciences (NASDAQ: GILD) exceeded analyst expectations reporting $7.6 billion in first quarter revenue , including $4.55 billion from their HCV portfolio of Harvoni and Sovaldi. Revenue […]
April 28 Biotech Update
So it ended up being a bad start to the week with a significant drop straight down to support with follow through early this morning. The sector seemed to find some support at support levels yesterday but it felt tenuous. Keep in mind that we have yet to have the big scary correction this year […]
The Week Ahead in Earnings
A second busy week of earnings is due out in the space this week. We will see 3 of the 4 remaining large caps report (Gilead, Celgene, Vertex) and a smattering of big pharma reports as well. Given the sell off today, earnings reports could stem the fall, or exacerbate it further with poor results. […]
April 14 Biotech Update
A weak start to the day that essentially appears to be a continuation from the late selling yesterday. It still seems to be the case that large caps are underperforming the SMID, which has been the case for awhile. I suspect that is going to be a difficult trend to break but for the long […]
April 8 Biotech Update
It was actually a good morning for the sector with large and SMID caps doing well. While that is a good first step, we need these moves to not only stick but strengthen at the end of the day. Another fade would indicate that the selling pressure remains a headwind. The sector is in an […]
December 12 Biotech Update
The market is weak to open as a follow through on the selling yesterday. This feels like a reversal day but it is way too early to tell but either way I think we are going to get a sense of how stocks are going to trade into the end of the year. A day […]
December 10 Biotech Update
It was a slightly negative open to the market but certainly more benign than yesterday where the market was able to come back. It may be the case that we are in a Europe driven pattern where there is selling pressure when the European markets are open but that drag is lifted once they close […]
December 8 Biotech Update
It has been a busy couple of days as expected and more news than can be adequately covered in one day, so today I will touch on what seems most interesting and/or near term actionable. Even then I will necessarily be leaving some important topics for later in the week so feel free to contact […]
November 21 Biotech Update
A great open for the market but then it immediately proceeded to lay an egg. It is still early and the key is going to be how it responds to the selling. The only worrying sign is that the downdraft really seemed to hit biotechs and these have been a leading indicator of larger market […]
November 20 Biotech Update
Market starts a little weak this morning and generally is taking the sector with it. That being said it is not a rout by any means, so it seems like there sector is looking to find its footing before the next move. Luckily we have some news to talk about. 1. EPZM reported very positive […]
November 17 Biotech Update
This morning was just a little bit busy. The market was neutral, which gives us a nice clean way to see how the biotechs are reacting to news. In general, it appears that good news is still moving stocks higher, although some of the moves were more muted than you would expect. In any case, […]
November 12 Biotech Update
A weaker start to the day today but I still see this as the market treading water as opposed to a new trend. I certainly would keep an eye on the action of the small caps as they have been an early warning signal and they too seem to be treading water with some winners […]
November 10 Biotech Update
News continues to roll in and the market is providing a relatively neutral backdrop, which gives us a good sense of what the price action means. In other words, the price action of biotech stocks after news seems to be a clear signal of market reaction and is not being cloudy by macro effects. This […]
