So we saw a ballpark decline in $IBB from the high of 275 to a low of 229 that was put in on Friday. Roughly 17%. Some of the names in the group are already showing some flashes of brilliance. Is it a dead cat bounce or was that the pullback before retesting the highs? The ETF has bounced about $12 in the last two days.
The run isn’t over in my opinion and as a matter of fact these companies get closer to changing the world every day. Be careful of the under $5 story stocks though. They can pay big, but they are also widow makers.
My out on a limb call is that $IBB will make new highs by the end of May or early June. Granted, the group is still weird and can trade violently. Some of the intraday moves are wild, as the individual stocks that make up the sector are still trying to find direction. This action is normal after the slam that they took. I bought $CLVS today which was my first entry back in the group, I’m looking at many more.
Here are some names that that have been beaten to death that may have bottomed or are in the process of bottoming. These are all on my list and I may enter any of them over the short term.
$ALNY, $PCYC, $QCOR, $FURX, $HZNP $CELG
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Good luck in the jungle.