This post is going to be brief. Things in tech are working today: CRM, SPLK, YELP, DATA, WDAY, CSCO, GOOG, TWTR, AMZN.
On the other side of the ledger is biotech depravity. These stocks are falling by the bushel, being used to grease the treads of CSCO’s tracks. In Exodus, the biotech sector is at the very bottom of its Hybrid chart, suggestive that a bounce is coming. Considering the fact that tech has asserted itself in a leadership position here, along with banks firming up, I am constructive on this tape now.
When I say “now”, I mean for a short term bounce. The pain being felt in biotech is extensive. But, like all other biotech routs of the past, this too will be viewed as a unique buying opportunity. It never “feels” good to buy the blood. It takes immense courage.
I’ve selected a basket of stocks to properly gauge risk appetite in biotech. If you start to see these stocks recover, get long one of the laggards quickly, for they will clown rape shorts in a most heinous fashion.
ONCE
BLUE
ICPT
BIIB
JUNO
CLDX
RARE
AGIO
EGRX
SAGE
ESPR
XON
ZIOP
AFMD
ADRO
Taro?
Dr. Fly – a valuable post. Much appreciated. Would you consider ARWR a viable laggard?
no. Too small. The big ones are down. You’re better off staying with names over 1 bill in cap.
Taken to heart. Thank you.
+1
I keep staring at that $arwr too, UB. Our tastes align again.