July 18th Biotech Update

The sector has been red hot.  It is due for a pause and a test of the breakout.  Perhaps this is where we get that healthy pause and refresh or perhaps we have a little more juice left in this move.  Yesterday was interesting with a pretty strong move in the big pharma names.  I […]

July 15th Biotech Update

A little bit of strength to start the week.  I still think we need to pause this run higher and back test support.  We clearly seem to be breaking out of a range and to confirm that break I would like to see us test the upper end of that range as support.  I think […]

July 12th Biotech Update

It has been a really good week.  If you look at the chart, one could make a compelling case that we are breaking out of that range.  I would not have predicted this was the week in which that would happen but it looks good.  If I were writing the ideal script we would extend […]

July 9th Biotech Update

Yesterday ended up being a decent day.  Not the greatest but certainly a nice little start to the week.  Ideally, we get some follow through today and into the middle of the week.  It might be difficult to get that sort of momentum without more news but it would certainly be some good strength if […]

July 8th Biotech Update

It is going to be an interesting week.  We have been pretty slow on the news front and last week was a holiday week with the expected dry up in volume.  I get that it is still summer, and trading is going to remain slow but coming off of a holiday we get some interesting […]

July 2nd Biotech Update

It was a good start to yesterday morning but we got weaker as the day went on.  I still think the sector is not in a bad position but I do not like to see the strength in the morning and weakness as the day went on.  It is only one day and the volume […]

June 28th Biotech Update

Not a bad week nor a great week for the sector.  It would have been nice to see the sector set a new high but we did get a nice bounce from support.  The XBI is going to be interesting to follow going forward because they have changed the composition to have more large caps.  […]

June 26th Biotech Update

I should leave more often as the sector has done OK in my absence.  For good or ill, I am back and hopefully we can keep this strength and establish a more clear trend to the upside.  I think there is more work to be done but we are at least in a position in […]

June 18th Biotech Update

Not the start to the week that we need, especially given the positive broader markets.  We still have a marginally positive trend but the last thing we need is to show so really large underperformance to the broader market while we break the positive momentum that we were building.  I wanted to drop a short […]

June 17th Biotech Update

It was not the best end to the week but taking a step back and looking at the sector, it does not look bad.  There seems to be a little trend forming and assuming that we can bounce and move higher this week, it will strengthen that look in the chart.  We are in a […]

June 12th Biotech Update

As perhaps the least surprising news of the day, inflation came in cooler than expected, rates are moving lower, and the sector seems to be rallying.  While perhaps the lower inflation is a bit of a surprise, the reaction should not surprise anyone as this has been the relationship for a couple of years.  I […]

June 10th Biotech Update

Keeping on the theme of griding we continue to work through the ASCO and other data.  The sector is still going to be linked to rates and the Fed but given that we are not in a place for rates to go down, we are looking likely to grind away at these levels.  I thought […]

June 5th Biotech Update

Not a bad start to the week.  It is a nice little move higher but we are still in a grinding sort of market.  I am perfectly content to let the sector build a nice long base at these levels.  Of course, these can be double edged swords.  It will be a very strong base […]

June 3rd Biotech Update

We are sort of hanging out at these levels.  Perhaps we have a modest little downtrend but I sort of see the sector more in a holding pattern more than anything else. I know we are waiting for inflation and rates to move down and our expectations are that it helps the sector.  What if […]

May 31st Biotech Update

Nothing really to add on the sector or market in general.  It is all about inflation and rates and will be so for the foreseeable future.  The sector has been struggling a little and I think probably a little more than I would have originally expected.  I understand that rates are heading up a little […]

May 29th Biotech Update

There is not a lot to say about the broader sector or even the broader market.  It seems like anyone who wants to go long is buying NVDA and semis and every other sector is being impacted by the higher rates.  I am not convinced that the move higher in rates is sustainable as I […]

May 28th Biotech Update

There was not a lot of interest in the sector in front of a long weekend.  That is somewhat interesting as usually a long weekend sparks dreams of potential deals being finished.  While M&A has been fine this year, there does not seem to be the level of excitement or interest that we have seen […]

May 22nd Biotech Update

We are hanging out.  I do feel like there is a little more interest in the sector than has been and obviously it is related to rates.  They have trended down recently, and the talk is that CPI should be cooling off as well.  The FED has not really changed its tone a lot and […]

May 20th Biotech Update

It is sort of a low new week to start off and I will simply be following up on some older news that slipped through the cracks as I do not see anything really pressing this morning.  Ideally we will continue our move higher and build some real momentum in the sector but there is […]

May 17th Biotech Update

It has been a pretty good week for the sector with a nice steady move higher.  It has not be an absolute straight line nor has it been dramatic one but a slow build higher is not too bad.  In some ways, this is better than an accelerating move as this provides more volume at […]