Do Or Die For Biotech?
Once again, the major drugs
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$DRG.X |
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PowerRating) continue to hold up fairly well. Continue to look for buying opportunities in calls
and call spreads here.
Biotech
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$BTK.X |
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appears to be at a "do or die" point. On Friday, it bounced off of a support
level and close well. Look for buying opportunities in call and call spreads
here but avoid/exit the sector if the recently lows are taken out.
For you OEX
traders, the VIX reversed from an overbought level. This action triggers CVR
III-Modified and CVR I and III buy signals on the Market Bias Page. Don’t be a hero though, wait for a reversal in
the VIX and or price before attempting entries.
Follow
Up/Looking Ahead
The overall market
remains oversold. Therefore, wait for bounce before attempting shorts in
vulnerable technology such as telecom
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$XTC.X |
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$XCI.X |
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$GSO.X |
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Retail
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$RLX.X |
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looks like it may be breaking down and may setup for a shorting opportunity on
the first bounce.
Internet
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$DOT.X |
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PowerRating)
has dropped significantly since first mentioned. If you are fortunate enough to
have profits here, you might want to lock in a piece.
Best of
luck with your trading on Monday!
P.S. Reminder:
Protective stops on every trade!