Potential downside breakout for biotech. Still too early to confirm whether it's real or a fake, keep an eye on this one.
Entered 25% position so far, will look to add more if further confirmation appears.
The democrats are the biggest threat to the healthcare sector … They do not like the present healthcare system and they want "HEALTHCARE REFORM" , free for all healthcare , FREE MEDICATIONS AND cheap drug prices ,
The biotech sector fell today news that Donald Trump intends to sign an executive order demanding that pharmaceutical companies give the US government "favored nation" prices. The news may not be as bad as it sounds, because Trump is apparently only launching a pilot program that will effect a small number of drugs. However, it's hard to predict the market's...
... for a 1.04/contract credit.
Max Profit: $104/contract
Max Loss/Buying Power Effect: $196/contract
Break Evens: 76.96/93.04
Notes: Back into biotech, collecting one-third the width of the wings. Will look to manage the trade at side approaching worthless (i.e., rolling toward the tested side) with a profit target of 50% max.
Rising wedge to triple top @ 93-94 then bearish confirmation breaking the neckline @85. Also, upside momentum declining as indicated by the RSI and MACD divergence, with MACD crossing the zero line. Political rhetoric by both Democrats and Republicans suggesting government intervention as the solution for combating rising healthcare cost. Also, majority of...