One of the more noteworthy developments in recent days has been the move in biotech. The iShares Nasdaq Biotechnology ETF (IBB) now up about 12% from its November lows to trade at 112, near two-year nigh. Not only is that IBB overbought following recent advance, the ETF also drawing the attention of bears. Now the question is whether the rally has more legs? Below is an update look at a trade in IBB.
The graphic below is from our “U.S. Market Trading Map”, show the near-term technical bias and trading ranges. As shown, the underlying is in a short-term bullish trend when the price bars are painted in green. The underlying is in a short-term bearish trend when the price bars are painted in red.
Chart 1.1 – iShares Nasdaq Biotechnology ETF (weekly)
Our “U.S. Market Trading Map” painted IBB bars in red (sell) – see area ‘A’ in the chart. IBB has been on a tear after the October selloff found support near the 50-week moving average – the level that offered support since the ETF broke out in early 2017. The November rally pushed the ETF up against resistance at the 114 zone – the early 2016 breakdown point. Last week’s spinning top candlestick pattern together with overbought conditions…Click here to read more.
You see, our trend-following system is very unique as it attempts to pick turns before others see them. Timing is everything and if you’ve applied our system correctly, you should have made a killing in any markets.
This is just an example of many successful trades that our member had enjoyed recently. After all, aren’t you glad you subscribed?
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