XBI has been forming a rectangular bottoming pattern and price is likely putting in a low. The Biotech sector is getting ready to turn up with a breakout next. Daily Chart
I had stepped aside of GUSH and took profits because I could see it going through a choppy phase next. We could adopt a more active trading strategy there. Oil is not ready to advance further but it won't see much weakness either.
I don't see biotech --lifting the Spx to new highs --maybe in the short term --but that will require one hell of vaccine --distributed globally--I will pick up OCGN calls ---lets see what happens?
Massive expenditure into Biotech. Comparison to a war. Markets often do well in a war because there is massive government expenditure into infrastructure. In this case into Biotech.
What is suspect though is we may need to let the current vaccination campaign finish before we get more serious about new vaccine candidates such as OCGN.
Hi, would you please explain adopt a more active trading strategy in ref. to gush. Are you no longer expecting a pull back? Congratulations on the call for XBI, awesome! Thank you
GUSH up basically $10 dollar from yesterday's low. That's a good money trade. We should have done it. GUSH likely to trade $90 to $105 for a few months.
I still do expect a pullback to $70 GUSH later in the year before it runs crazy.
We are still not out of the woods, there is gap in the SPX at 4430 too 4440 -should be filled if we are going to sell off or go higher------I am guessing that that is the line in the sand!
Early October we are consolidating at the bottom---once we get past the down--grade of US Debt --I am go long--Too early to tell that October will be a good Month--But I will keep it in mind!
I'm expecting Biotech to trend up for 1 year from this low. So this is an important turn for Biotech.
ReplyDeleteBought XBI Janaury $140 Calls at $2.80.
ReplyDeleteThe turns have been accurate and I have a model for XBI. Strength in Biotech is likely to provide lift to SPX.
ReplyDeleteGUSH is up pretty well 100% from August. Tremendous strength there in Oil as well.
ReplyDeleteMy XBI Calls are up 20% just that fast lol
ReplyDeleteI'll look to take profit soon. I called the last high of XBI at $137. Right on the button. My feeling is XBI won't see lower than $120.
ReplyDeleteWell, not for this time frame anyway.
DeleteI had stepped aside of GUSH and took profits because I could see it going through a choppy phase next. We could adopt a more active trading strategy there. Oil is not ready to advance further but it won't see much weakness either.
ReplyDeleteYes there is an Inflation burst coming that will shock the Hell out of people...
ReplyDeleteto the downside or upside?
ReplyDeleteUp
Deleteinflation is going up or the market is going up in a burst?
DeleteInflation gap up 25% overnight
Deleteyou're saying market is going to gap up 25% over night?
DeleteWaaat?
Inflation gap higher. Gasoline, food, etc...
Deletesc,
ReplyDeleteI don't see biotech --lifting the Spx to new highs --maybe in the short term --but that will require one hell of vaccine --distributed globally--I will pick up OCGN calls ---lets see what happens?
Massive expenditure into Biotech. Comparison to a war. Markets often do well in a war because there is massive government expenditure into infrastructure. In this case into Biotech.
DeleteThe WHO is reviewing Covaxin vaccine approval. There are some reports of delays. I'm deciding how I want to play OCGN
DeleteWhat is suspect though is we may need to let the current vaccination campaign finish before we get more serious about new vaccine candidates such as OCGN.
DeleteHi, would you please explain adopt a more active trading strategy in ref. to gush. Are you no longer expecting a pull back? Congratulations on the call for XBI, awesome! Thank you
ReplyDeleteGUSH up basically $10 dollar from yesterday's low. That's a good money trade. We should have done it. GUSH likely to trade $90 to $105 for a few months.
DeleteI still do expect a pullback to $70 GUSH later in the year before it runs crazy.
Bought DRIP $5.38. Oil GUSH up again today strong. Frankly it looks a bit too much.
ReplyDeletesc,
ReplyDeletetoo much wrong doing with our politicians and we are close to breaking new lows --too many problems out their?
There is always wrong with politicians. That's why they are politicians.
Deletesc,
ReplyDeletewe cant buy options on drip???
Could do. With the DRIP it's more of a counter trend trade though. Probably good for $10 looking out several months.
Deletesc,
ReplyDeleteAnything else looks good short term--at the end of the year---this still below SPX 3700---the damage is done!
sc,
ReplyDeleteWe are out of all upward support --Daily--Weekly and Monthly!
Oil strength yesterday was foretelling today's strength in SPX.
ReplyDeletesc,
ReplyDeleteWe are still not out of the woods, there is gap in the SPX at 4430 too 4440 -should be filled if we are going to sell off or go higher------I am guessing that that is the line in the sand!
Let's see but it seems September was a bad month but October may alternate as a good month.
Deletesc,
ReplyDeleteEarly October we are consolidating at the bottom---once we get past the down--grade of US Debt --I am go long--Too early to tell that October will be a good Month--But I will keep it in mind!
sc,
ReplyDeleteThese politicians are just too childish to do the right think!
Took profits DRIP $5.75.
ReplyDeleteNew chart posted!
ReplyDelete