Not the best way to end a week but we are at what could be a level of support and I talked about this possibility. It was not the less stressful version of setting up a bullish trend but heading down to these current levels and using it as a support to a move to […]
May the 4th Biotech Update Be With You
We seem to be finally breaking out of the range especially if the broader market can at least hold up. The news continues to be good for the sector and that seems to be bring more investors and interest. As long as these new investors can make money there should be a nice momentum that […]
April 28th Biotech Update
It is more than a little disheartening to see a strong rally that leaves out the sector. If one wants to try and look at the bright side it saved us from breaking down and we seem to be bouncing off of a support level. Of course, it looks pretty meaningless if we cannot rally […]
March 15th Biotech Update
Not the best start to the day. It seems like banks are taking a hit (and not just the regionals but even the too big to fail variety) and as long as the market perceives a banking crisis, it will be difficult for the market to rally. To be fair when you have two of […]
March 14th Biotech Update
Inflation came within expectations (with expectations that it continues to slowly cool although it still remains high). I think the 50 bps hike is completely off the table at this point and I would lean towards a pause over the 25 bps hike. I am not as aggressive in thinking that the Fed pauses but […]
March 13th Biotech Update
Quite the start to the week and it would be quite disappointing if all the news does not get at least a snap back rally in the sector but there are a lot of moving parts. We have both major macro news as well as sector (and portfolio) news and I will cover them on […]
March 3rd Biotech Update
I am a little torn by the market and sector at this point. Part of me sees the recent weakness and pullback as a natural consolidation and part of me sees it the start of the last major downside related to the rate hike cycle. Expectations of rates have increased and I keep going back […]
February 3rd Biotech Update
I think I was right that we were entering a new uptrend but it still looked like we were in the range. It seems like we are in the process of breaking out but we still need to retest the old resistance and make sure it is new support. Whether we need to run higher […]
January 20th Biotech Update
We had our chance but the trend has remained our friend and we remain stuck in the range. It was not unexpected but still a little disappointing as it would have been nice to get that breakout. I do not think it makes a breakdown more likely but the grind in the range continues and […]
January 3rd Biotech Update
It is a New Year and two paths diverge in the sector. One would be an unprecedented third year in a row of decline and the second would be the first up year after back to back declines. I am going to use the next couple days to delineate my predictions for 2023. LLY […]
December 29th Biotech Update (Prediction reviews)
We end the year hopefully on an up note but nothing has really changed about the sector. We are range bound and a drifting in the range. The length of time spent in this range really makes it into really strong support or resistance for the move. It makes me think that when we do […]
December 6th Biotech Update
The year seems to be winding down as we stay in this little range. I am not convinced that this is a bad thing (as long as we end up breaking to the upside as this will be nice strong support). I think the Fed and rates has faded to the background a little but […]
November 14th Biotech Update
We had a nice little rally to end the week and while I would like to say it was related to strong fundamentals, I think it was more macro related. It certainly helped that the sector has generally had a strong earnings season (as compared to something like tech) but I suspect that the market […]
June 8th Biotech Update
I guess I brought some good vibes back from my vacation. I still would say that we are not ever close to saying that an uptrend is in play but these strong days are the necessary condition to start that trend. We are at a level where additional upside gets us starting to think more […]
April 28th Biotech Update
Well, the sector and market is a mess right now. This makes it an interesting earning season as we have to content not just with what the quarterly results are telling us but also in an uncertain economic background. The US GDP unexpectedly contracted, although it might be overstating the weakness of the economy as […]
April 8th Biotech Update
While it looked like today was going to be a flat week of consolidation, the last couple of days have been a disappointment and this is more of a pullback sort of week. Pullbacks are not bad per se as long as it stays above support and I think if we stay above $90 and […]
February 7th Biotech Update
A good start to the week and we are still in the middle of earnings. Obviously the sector has been oversold and it is at least due for a dead cat bounce. It is also possible that last week was the start of the messy bottoming process. I am not sure even the market knows. […]
January 3rd Biotech Update
2021 is finally over and 2022 enters with hopes of a better year but we all are probably scarred from the year that was 2021. JPM is coming and that brings with it hopes of M&A, positive guidance, and perhaps positive data. Last year it was not great and that ended up being a signal […]
December 16th Biotech Update
Is it really as simple as interest rates? All of the thinking through the sector and fundamental analysis and the sector rallied hard on a somewhat more dovish (or less aggressive) Fed. It looks like the trading yesterday also sets up the potential for a double bottom assuming that we can continue this rally and […]
December 15th Biotech Update
It really seems like we are at the point of the bear market that nothing really matters. Typically we talk about M&A or data or launches as being catalysts that could bring interest back into the sector. Nothing seems to work at this point. There is no big push for drug price reform. We have […]
