May 8th Biotech Update

We keep smacking our heads against the resistance above and the more times we hit it the better the chance it breaks.   The sector news has been positive and the broader market is still grinding higher, so the broader fundamentals appear supportive of a break.  The flip side is that if we cannot breakout within […]

May 7th Biotech Update

Earnings continue and the themes are basically the same.  They are generally good if not better than expectations but they remain cautious for the rest of the year. The sector is certainly rebounding from the selling late last week but there seems to be this odd late day selling despite strength during most of the […]

May 5th Biotech Update

So it is looking like the late last week selling was a pause that refreshes and the demand for the sector continues.  We still likely have a wall of resistance at $100 on the XBI, so it is not stunning that we paused when we reached that level.  A sustained move above that level would […]

May the Force Be With Biotech Update

The trend is you friend until it is not anymore.  We had a nice strong uptrend that appears to have broken.  This obviously does not mean that we are moving to the low but that the next direction is not precisely clear.  We needed to digest that recent move as it was almost straight up […]

May 1st Biotech Update

We finally get two days in a row of the same move but unfortunately it is down.  This is not completely surprising as it is completely reasonable that the sharp move higher in the market needs to pause and/or retrench a little.  Of course, the tension and worry will be whether or not this is […]

April 30th Biotech (and MLP) Update

We continue with a back and forth week.  I think we have alternated up and down days this entire week.  This continues day and clearly we have a week of indecision.  This is not necessarily bullish.  Yes, it is bullish to basically digest a move higher with sideways action but the news this week has […]

April 29th Biotech Update

Yesterday was a retracement day and seemed almost like a rotation out of what was working (biotech) into lagging sectors (banking).  Given the strength in the sector it should be able to handle the retracement before continuing the move higher.  The only worry is the XBI compared to the IBB.  The IBB had made new […]

Cardiol Therapeutics – Pharmaceutical Cannabidiol (CBD) Long-Term Value Creation Will Lead the Way to Acute Myocarditis Clinical Trial

Cardiol Therapeutics (CRTPF) is a Canadian company that completed its initial public offering (IPO) on the Toronto Stock Exchange (the “TSX”) back in December 2018 and trades mainly on the TSX under the symbol CRDL while in the U.S. it trades on the OTCQX under the symbol CRTPF. Cardiol is focused on producing pharmaceutical cannabidiol […]

April 27th Biotech Update

A new week and it is off to a good start.  One debate I often have with myself is whether or not the bottom is in.  It is an important question but really unknowable at this point.  If HCQ or remdisivr or some other drug comes out as a reasonable treatment for COVID between now […]

April 24th Biotech (and MLP) Update

It seems like the market is slowly getting back to some sort of normalcy.  The daily massive moves are slowly becoming more measured moves.  Yes, volatility is still elevated and we still get large moves but the days of daily 5%-10% moves higher or lower with even larger swings seems to be slowly moving into […]

April 23 Biotech (and MLP) Update

Good news for investors.  Stocks have never been red when weekly jobless claims were over 3 million and with the 4+ million claims this week, we should be fine.  Clearly we are in abnormal times but simply looking the at the price action and ignoring the broader economic fundamentals, the market is strong.  That seems […]

April 20th Biotech (and MLP) Update

So it looked like last week finally decided the next move would be higher but this morning we start with some weakness.  I would not be surprised, however, to see the market to reverse during the day.  I saw an analysis that showed almost all of the downside on the selloff the past couple months […]

April 16th Biotech Update

It is a week of indecision despite having thought it would be a week of decision.  It happens I guess but we are whiplashing higher and lower but, honestly, if I ignored the larger macro context and just looked at the XBI the chart the past couple weeks, it seems clearly in an uptrend.  We […]

April 15th Biotech Update

Well, today is a day where we should have turned off the alarmed, rolled over in bed, and went back to sleep.  Certainly not a good start after what was a pretty strong Tuesday.  Nothing has really changed fundamentally, so it seems investors are trying to figure out where the next move will and pile […]

April 13th Biotech Update

A mixed start to the week, which seems fitting given the technical analysis that Joe published last night. I highly recommend that you read it as it lays out the next move in the market and I agree that we seem to be at a decision point.  Perhaps we do not get the decision this […]

A Closer Look at The SPX

S&P 500 Index SPX   Last week we had a strong move in the overall markets, were the XBI had a long GREEN weekly candlestick closing at $83.43 just above the $82.38 resistance line. But today I’m gonna take a look at the SPX that lead the move and reflecting to the XBI as well. […]

April 9th Biotech Update

We live in a macro world for sure.  Another strong day as FOMO is coming to the forefront driving the market higher and higher.  Is the market mis-pricing risk at this point?  Perhaps but looking at the FXI it bottomed pretty early into their epidemic and that is probably a good analogy for the US […]