18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.
Joined Nov 10, 2007
20,579 Blog Posts

The Biotech Run is Long in the Tooth; Time to Move On

This morning I presided over a position in BLUE go green to red, ended up booking me an 11% loss. If not for my position in ZM, today would truly be a doomful day. The run in the biotech sector has been terrific and profitable, but it’s long in the tooth and very likely to top out soon — leaving you there holding the bag.

Honestly, I have little motivation to add heavy exposure to the market here, currently 85-90% in cash. I am, however, looking at the trash heap of the market for bargains, which sometimes run higher after tax loss selling happens. There are a wide array of stocks down 20% or more for the year and maybe they’ll get their turn soon. Maybe not. One can never know for sure.

ENTER MORGAN STANLEY, actual fuck heads.

Chief U.S. Equity Strategist Michael Wilson writes that the brokerage still favors defensive, reliable stock picks and a choosier philosophy as investors look to 2020.

“We still think the greatest risk in the equity market remains in growth stocks where expectations are too high and priced,” he tells clients.

A healthy nonfarm payrolls print sparked a 337-point surge in the Dow Jones Industrial Average on Friday, with stocks closing just below record highs.

There is a healthy hatred of this market, so be careful barreling in sloppily into your Christmas tree.

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