We all have our demons, things that keep us up at night. LABU has been my demon the last few days and has prevented quality REM sleep and has given me night terrors. Although we made great money, the chart was still fabulous. What I should have done was to have lowered my stop so I could have stayed in the trade. I didn’t and today it popped 12 % .
XBI and IBB right now look to be on a launchpad to much higher prices. Even with the great action on both of these etf’s today, they are still not overbought.
I mentioned in last night’s video that I would probably add LABU, but they walked it up all day, with nary a downtick, and the pullback that I was waiting for never came.
That leaves me with the decision of just buying it or not. In a perfect world, maybe I’ll get a little pullback tomorrow. Trump does address Congress tomorrow night, and he has been a Debbie Downer on biotech, but I think that’s baked in, so I don’t see a bio selloff as a result. Decisions… decisions.
Anyway, XBI popped over 4% today and the IBB popped just shy of 3%.
All the watchlist names in last night video had great days today. CORT +2%, PGNX +8.3%, RARE +9.9%, AERI +4.7% and ARRY +8.2%. JAZZ was up a little. Hopefully, you grabbed one or two of them. All biotech.
Some of our existing stocks did well as EXEL was +6.4%, LOXO exploded and broke out +8.0%, BLUE +7.1%, PTLA made yet another new high +4.5%, ICPT +4.7%.
I added 2 new longs today.
EXAS broke out last week on great volume and has pulled back into a nice buy range. I added it today at the 22 level. If it can take out last week’s highs around 23.50, I’m looking for targets of 26-27.
I also added ARCH which recently reemerged from bankruptcy with a very clean balance sheet. The stock is digesting a recent 10 point move and has formed a bullish wedge of sorts. Once over the 74 level, I think it can get moving nicely again.
Have a great night, see you tomorrow.