$XBI Looking to Breakout (Again)?

XBI Firstly, I may have an unhealthy attraction to this ETF. I have been in and out of this ETF a number of times over the last few months and overall, just a few $ profit.

Having said that this has been basing Since January 2022. The longer the base the bigger the break, or so the Wall Street Axiom goes. It did breakout in February 2024 and quickly failed (I have a link below of my last idea). And there is another idiom: from failed moves come fast moves, and it did move quickly down. Now it is back to the original breakout “area” so this may have been a simple shakeout.

Here is what I like about it now: It looks to have gotten support near the 40 Week MA. It looks to be regaining the 10 Week MA (Yellow) and is solidly above the 5 Week MA. This weekly chart looks much better than the daily chart.

This is my plan, “if” the market is doing well this coming week and this moves above last week’s close of $91.18 I plan on opening a new position with a maximum stop below last week’s low of 87.68 which is about a 4% position risk. My thesis is that it can easily go back to retest the 103 – 104 area which would be about a 10% gain.

My idea, your money. If you decide you like this idea, make sure that it fits with your trading plan on your timeframe.

The chart I am using is the All-In-One LevelUp tool available here on TV. Check it out.

Comments always welcome. Thanks for looking.

Trade active:

XBI We are now over one and a half hours into the trading day and it seems that the trend on this is up. I have opened a 1/2 sized position as marked on this 5 min chart.
So far it's according to plan. Let's see what happens.

Comment:

I will be running a very tight stop on this opening trade. For today, that will be 91.30 which is just below today's higher low on the 5 min chart above. If I am not stopped out today, I will reevaluate that stop and most likely give it more room. All TBD.

Comment:

XBI I have brought this up to a full size position and raised the stop for the whole position as shown on the chart. Looking good so far.