I guess that is my bad for writing on a Tuesday when I usually do not write. The sector and market did not seem to like that at all, so my bad. In all seriousness, that was certainly not a good day but actually might be good. We now have a clear upside resistance level […]
May 4th Biotech Update
I usually do not have time to write on Tuesday but wanted to put out a quick note. In general, we are still in a decision area with the sector. We have broken the clear downtrend but are not out of the woods and have certainly not established a clear uptrend. In any case, I […]
May 3rd Biotech Update
Have we broken the downtrend? We are certainly in a much better position than before. We have not made a lower low and we are above what was the previous lower high. In other words, the clear downtrend is no longer that clear. We have not established a new uptrend but we are in the […]
April 26th Biotech Update
An OK start to the week in terms of being green. It looks like we have broken the lower high trends and it would be great to get confirmation of that this week and even make a push at $140 in the XBI. I know it is easy to dump on the sector but honestly […]
April 19th Biotech Update
We remain in the same spot with the sector. It has not really given us the clear signal but we really need to break above that $140 level to ensure that we have not made a clear lower high. There is also another potential higher low being setup around $135.66 or so. I am not […]
April 16th Biotech Update
Today is modestly important not that we are going to break above an important range or below one but continued momentum higher is sort of key. We have had a good week so do far but if we stall at these levels it really looks like a clear trend line lower where yesterday has the […]
April 14th Biotech Update
I will try and make this quick today as we have strong storms and who knows if power will hold out. Luckily there is not a ton of news but that does not mean we are not at an important point. I am a little torn in how to see the sector. We bounced and […]
April 8th Biotech Update
I spent some time this morning looking for something interesting to talk about and there really is not much. The sector remains in a sort of zone of indecision and that has not changed. We were a little closer to the downside level with some negative sentiment but we are higher today and I am […]
April 7th Biotech Update
We remain mired in the middle with nothing really to signal the ultimate resolution of this situation. I would simply remain focused on the fundamentals of companies and simply be aware that the broader sector will at some point clarify the next move. I would be ready for a move higher or lower as I […]
April 5th Biotech Update
While it is possible that this week is decision week for the sector, I am not convinced that it has to be. There is room above and below for it to tread water and not signal its next big move. I see the $150 and $125 levels as the key ones to watch and the […]
March 31st Biotech Update
We are in an interesting spot. Yesterday started bad but we reversed higher and that continued today. It feels better with this bounce having a nice follow through. What is interesting is that we made a lower low despite the reversal., so in reality we seem to have established a downtrend even though we had […]
March 24th Biotech Update
You probably got the sense that I was leaning towards the sector eventually signaling a new trend higher at some point. Yesterday did not provide any comfort of confirmation of that lean. I would not argue that yesterday indicates that we are going to break into new lows but it definitely raises that possibility. It […]
March 11th Biotech (and Energy) Update
I think we are clearly in what sort of looks like a bottoming process but one that seems like it will be quite messy. The sector continues to be unable to generate consistently strong days but at least yesterday ended up not being a disaster. While continuation would have been great, it did not breakdown […]
March 5th Biotech (and Energy) Report
We are in an old fashion sell off. Have we reached blood in the street/panic bottom yet? It does not quite feel like that yet but we are so oversold we could have that bounce today. If not then we are likely looking for a Tuesday reversal as markets generally do not bottom on Fridays. […]
March 4th Biotech (and MLP) Update
So I think it was a week ago or so that I said that $140 was very likely and then these bounces made it perhaps a little less clear, yesterday made it clear. The question now is whether or not that level will hold. Everything is setting up for a bounce. We had a large […]
February 24th Biotech Update
So it has been a difficult start to the week for sure but we did get a little bit of reversal yesterday. It was more true for the market in general than for the sector but we did not close on the lows which I think is pretty important. Obviously we want to see green […]
February 12th Biotech Update
The sector certainly seems in pullpack mode. There is nothing to think that the broader trend higher is broken but obviously that is something we want to keep an eye on. There will be a broader and more significant move lower but global equities saw the largest inflow of funds ever last week. There is […]
February 8th Biotech (and MLP) Update
We have moved past the large cap portion of the earnings with positive price action in the sector but less so in the companies that are reporting. I do not believe that is related to the quality of the earnings as they were generally fine but more of a broader disconnect between large and SMID […]
February 4th Biotech Update
The market seems to have calmed down and now we are entering the grind higher phase (so it seems). I would not argue with you if you were to tell me that the market is overvalued and we are in the late stages of the bull market. I would note, however, that these late stages […]
February 3rd Biotech Update
It seems like the reddit traders and the GME short squeeze neither broke the market or revolutionized it. They were unable to keep the price high and avoid the crash (I suspect the Robinhood restriction only hastened the crash) and the were unable to replicate it in their next target of SLV. So odds are […]
