AMEX:XBI INDEX:BTK NASDAQ:IBB AMEX:LABU NASDAQ:IBB
Is it returning to the point of break out or faking out and heading much lower?
Looking at the Pharma sector. The inverse fund LABD looks to be coming off a double bottom. THe TSI looks to be crossing and moving higher. The RSI is moving from oversold higher. IF the general markets are setting up for a sell off (I think they are) then this could be a real good play.
The price is about to break the Flag from top and goes to 55 dollar. loaded with 50% for now (high risk), and the other 50% if and when the price cross the resistant line. This is only for sharing, Make your own judgment and take your own risk. I am taking some risk of the money already made from LABU, so no regret if this judgment turns to be wrong. Good Luck.
Looks like there could be a meaningful drop
I believe a big move is coming. I'm leaning bullish, but if we lose major support around 57.80 this will be a short play. It's important to be conservative. Wait for the break of resistance, or break of support.
Biotech went wild after Donald entered the white house. It will rage for a while longer. When it hit the 75 mark, enter short with LABD. Then ride it down to see the gap closing. There is a risk that it will close the gap before it hits 75 - by e.g. double topping, but I find it more likely that it will now continue up to 75. 75 is the critical number for the short entry.
It seems like Biotech has found its bottom, we should rally from here... There is a strong chance due to the elections that we may get an undercut low next week to get all the retail traders out before the big rally. Opening LABU position today with SL at today's intra day low.