Risk Averse Market - 2015 First and Second quarters

SP:SPX   S&P 500 Index
What I am not showing here is, that the Cyclicals are losing steam, Sensitive Market is in neutral trend, Defensive has been the buyers paradise since OCT 2014.

Why I think that this can be called as a Biotech Bubble is because, It has done the same exact thing Financials did in 2007. ie., Moved tooo quick tooo far.

Yes Bio Tech (Healthcare) sector is a defensive sector, but this is not "the normal" on a defensive sector.

What could fuel this bubble burst ? That's up to the Govt             , and the Medical Insurances out there. Most Medical Insurance at this point is so frustrated with the high Drug / Healthcare provider prices.

Note : This is not a Doom and Gloom Idea to trade. Its just my opinion - I am personally taking cautious actions with the market, that is reducing the risk to 1% or under in a trade. And focus on the Strong and Weak Sectors, Rather than the mixed bag.

This may not happen until second quarter of 2015, or even mid 2015. While the trend is up, I am still bullish . Until there is a transition.

Related Ideas - Show how trend changes again IMO             .
this IBB (linear chart) sound like a Top Thrill Dragster at Cedar Point!!!
2use jangseohee
or it will just go 95%
ucsgears PRO jangseohee
Yeah, Wild big bets of calls are being placed. Option volume on biotechs are increasing like never seen.... When everyone wants to buy it, Parabola happens, and we all know how parabola trades.
+1 Reply
Mark this post, We are heading to the Final Run - Could last for few months. Then, TADA.........................
Very good post - thx
Now i agree, it is a biotech bubble and it is quite risky to sit long in it now after such a rally.
+2 Reply
2use, if you see my failed trade of catching the top for REGN, think i fair better this time strike 430 put options :-)
2use jangseohee
I hesitate to catching tops and indeed i try not to scream bear until proven. In Biotech especially, i am guilty of missing the run myself.
+1 Reply
While, Waiting for the Longer term Play on GOLD -  
+2 Reply
let's see the Oct 2014 lower be taken out by 31Jan or not
+2 Reply
English (UK)
English (IN)
Bahasa Indonesia
Bahasa Melayu
Tiếng Việt
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out